Document:

Exhibit 10.1

 

AGREEMENT

 

This AGREEMENT (this
“Agreement”), entered into on this December 5, 2017, with effect as of January 1, 2018 (the “Effective
Date”), is by and between IDT Corp, a Delaware corporation (the “Company”), and Abilio Pereira, an individual
(the “Employee”), and, for the limited purposes set forth in Section 1 hereof, IDT Telecom, Inc., a Delaware
corporation (“IDT Telecom”).

 

WHEREAS, the Employee
has been employed as Chief Executive Officer of IDT Telecom pursuant to the terms of an Amended and Restated Employment Agreement
between IDT Telecom and Employee, dated as of January 12, 2015 (the “Existing Agreement”);

 

WHEREAS, IDT Telecom
and the Employee mutually desire to terminate the Existing Agreement effective December 31, 2017 and to provide for certain matters
related to his employment with the Company beginning on January 1, 2018;

 

NOW, THEREFORE, in consideration
of the promises and the respective covenants and agreements of the parties herein contained, and intending to be legally bound
hereby, the parties hereto agree as follows:

 

1. Existing Agreement.
Unless earlier terminated in accordance with its terms, the Existing Agreement is hereby terminated effective at 11:59 p.m. on
December 31, 2017, and shall be of no further force or effect from and after such time. If the Employee executes and delivers to
the Company a release in the form of Exhibit A hereto no later than December 31, 2017, IDT Telecom shall pay to the Employee FOUR
HUNDRED TWENTY-FIVE THOUSAND DOLLARS ($425,000.00), payable one half no later than January 12, 2018 and the remaining one-half
(1/2) payable in equal payments over the six (6) month period beginning in February 2018, in each of the Company’s regular
payroll payment dates (in each case, less any required deductions or withholding).

 

2. Terms of Employment.
Commencing on January 1, 2018 (the “Effective Date”), until terminated by either the Company or Employee:

 

(a) Title - President
and Chief Operating Officer of the Company and in such other capacities as shall be designated by the Chief Executive Officer (the
“CEO”) or Chairman (the “Chairman”) of the Company and agreed to by the Employee from time
to time.

 

(b) Time Commitment
– full time.

 

(c) Reporting Relationship
- Employee shall report directly to the CEO.

 

(d) Duties -
all duties as reasonably required by the Chief Executive Officer and the Chairman not materially inconsistent with the customary
role of a Chief Operating Officer.

 

(e) Base compensation
- annual base salary of FIVE HUNDRED THOUSAND DOLLARS ($500,000.00), payable in accordance with the Company’s standard
payroll practices, less applicable taxes and customary withholdings.  

 

(f) Bonus –
target bonus of THREE HUNDRED THOUSAND DOLLARS ($300,000.00), based on performance and as approved by the Compensation Committee
of the Board of Directors of the Company (the “Compensation Committee”).

 

(g) Modifications
to Equity or Bonus program – In the event the Company makes any Companywide changes to its bonus or equity programs,
including providing incentive compensation in the form of equity in lieu of cash bonuses, the Employee will participate in such
change at levels approved by the CEO and Compensation Committee.

 

(h) Equity Grant
– In the event the Company effectuates a broad-based equity grant for its employees that is not in lieu of receipt of a bonus,
the Employee will be entitled to participate on a level commensurate with other employees.

 

     

     

    

 

3. Severance.  (a)
Upon termination of the Employee’s employment with the Company for any reason (including by reason of death or
disability of the Employee) other than a termination by the Company for “Cause” or by the Employee without
“Good Reason,” (i) the Employee shall be entitled to retain all vested portions of equity awards as provided for
in the relevant plans and agreements pursuant to which such awards were granted; (ii) all equity awards theretofore granted
to the Employee under the Company’s incentive plans shall immediately vest (and the restrictions thereon lapse) on the
day immediately prior to the date of termination (except in the event of termination due to Employee’s death or
disability); (iii) the Company shall pay to the Employee all accrued or vested compensation, including salary and bonus
through the date of termination; and (iv) the Company shall pay to the Employee (or his estate, as the case may be) a payment
equal to EIGHT HUNDRED THOUSAND DOLLARS ($800,000.00) (less any required deductions or withholding) (the
“Severance”). As a condition to receiving the Severance, the Employee will be required to execute and
deliver the Company’s standard release agreement (the “Release Agreement”) within forty-five (45) days
following the date of termination. Subject to Section 17 hereof, the Severance will be paid one-half (1/2) within ten
(10) days of the effective date of the Release Agreement (provided that the Release Agreement shall not have been revoked by
the Employee prior thereto), and one-half (1/2) in equal payments over the six (6) month period following the effective date
of the Release Agreement on the Company’s regularly scheduled payroll payment dates.

 

(b) For purposes of
this Agreement, the Company shall have “Cause” to terminate the Employee’s employment hereunder (i) upon
the Employee’s indictment or conviction for the commission of an act or acts constituting a felony under the laws of the
United States or any State thereof, (ii) upon the Employee’s commission of fraud, embezzlement or gross negligence, (iii)
upon the Employee’s willful or continued failure to perform an act permitted by the Company’s rules, policies or procedures,
including without limitation, the Company’s Code of Business Conduct and Ethics (the “Code of Conduct”)
that is within his material duties hereunder (other than by reason of physical or mental illness or disability) or directives of
the CEO, Chairman or Board after written notice has been delivered to the Employee by the Company, which notice specifically identifies
the manner in which the Employee has not substantially performed his duties, and the Employee’s failure to substantially
perform his duties is not cured within fifteen (15) business days after notice of such failure has been given to the Employee;
(iv) upon any misrepresentation by the Employee of a material fact to or concealment by the Employee of a material fact from the
Board, the CEO, the Chairman, and/or the general counsel of the Company; or (v) upon any material violation of the Company’s
rules, policies or procedures, including without limitation, the Code of Conduct.  For purposes of this Section 6(b),
no act or failure to act on the Employee’s part shall be deemed “willful” unless done or omitted to be done,
by the Employee not in good faith and without reasonable belief that the Employee’s act, or failure to act, was in the best
interest of the Company.

 

(c) For purposes of
this Agreement, the Employee shall have “Good Reason” to terminate his employment hereunder upon (i) the Company’s
failure to perform its material duties hereunder, which failure has not been cured by the Company within fifteen (15) days of its
receipt of written notice thereof from the Employee; (ii) a material reduction by the Company (without the consent of the Employee,
which consent may be revoked at any time) in the Employee’s Base Salary, or substantial reduction in the other benefits provided
to the Employee; (iii) the assignment to the Employee of duties inconsistent with the Employee’s status as a senior executive
officer of the Company or a substantial adverse alteration in the nature or status of the Employee’s responsibilities; (iv)
a substantial diminution of the Employee’s responsibilities as the Chief Operating Officer of the Company; (v) the relocation
of the Employee’s principle place of employment to a location more than thirty-five (35) miles from its current New Jersey
location or outside of the New York City metropolitan area; (vi) removal of the Employee from the position of Chief Operating Officer
of the Company; (vii) the assignment of duties substantially inconsistent with the Company’s rules, policies or procedures,
including without limitation, the Code of Conduct; or (viii) any “Change in Control” of the Company.  For
purposes of this Agreement, a “Change in Control” shall mean and shall be deemed to have occurred if (A)
any person or group (within the meaning of Rule 13d-3 of the rules and regulations promulgated under the Securities Exchange Act
of 1934, as amended), other than Howard Jonas, members of his immediate family, his affiliates, trusts or private foundations established
by or on his behalf, and the heirs, executors or administrators of Howard Jonas, shall acquire in one or a series of transactions,
whether through sale of stock or merger, securities representing more than 50% of the voting power of all outstanding voting securities
of the Company, or (B) the stockholders of the Company shall approve a complete liquidation or dissolution of the Company (other
than for purposes of reforming the entity in another entity or jurisdiction). Notwithstanding the foregoing, a termination shall
not be treated as a resignation for Good Reason if the Employee shall have consented in writing to the occurrence of the event
giving rise to the claim of resignation for Good Reason.

 

    	 	2	 

     

    

 

If the Employee gives
notice of his intent to terminate his employment with Good Reason, the Employee shall first provide written notice to the Company,
which notice specifically identifies the event or circumstances giving rise to the Good Reason for which the Employee intends to
terminate his employment, within ninety (90) days (fifteen (15) days in the event of Change in Control) of when such event or circumstance
giving rise to the Good Reason becomes effective or transpires.  The notice of Good Reason must give the Company the
opportunity to cure and if the Company fails to cure within thirty (30) business days of its receipt of the notice, the Employee’s
resignation for Good Reason shall be deemed effective on the thirty-first (31st) business day following such notice
from the Employee. If the Company terminates the Employee’s employment without Cause, the Company shall provide the Employee
with at least ninety days’ written notice (which time may be shortened by mutual agreement of the parties) of its intent
to terminate this Agreement without Cause.

 

4. Notices.  For
the purposes of this Agreement, notices, demands and all other communications provided for in this Agreement shall be in writing
and shall be deemed to have been duly given when delivered or (unless otherwise specified) mailed by United States certified or
registered mail, return receipt requested, postage prepaid, or by an overnight courier (signature required), sent by facsimile
(with evidence of successful transmission) or by electronic mail (return receipt requested) in each case addressed as follows:

 

If to the Company:

 

IDT Corp

520 Broad Street

Newark, New Jersey 07102

Attn:   Chairman
of the Board

 

with a copy
to:

 

IDT Corporation

520 Broad Street

Newark, New Jersey 07102

Attn:    General
Counsel

 

If to the Employee:

 

Abilio Pereira

104 Canterbury
Way

Basking Ridge,
NJ  07920

 

or to such other address, facsimile number
or email address as either party may have furnished to the other in accordance herewith, except that notices of change of address
shall be effective only upon receipt.

 

5. Miscellaneous.  No
provision of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in
writing signed by the Employee and the CEO.  No waiver by either party hereto at any time of any breach by the other
party hereto of, or compliance with, any condition or provision of this Agreement to be performed by such other party shall be
deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time.  No
agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof have been made
by either party, which are not set forth expressly in this Agreement.   This Agreement shall be binding upon and inure
to the benefit of the Company, and its successors and assigns, and upon the Employee.  The obligations of the Employee
shall not be assignable or otherwise transferable.

 

6. Validity.  The
invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability
of any other provision of this Agreement, which shall remain in full force and effect.

 

    	 	3	 

     

    

 

7. Counterparts.  This
Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original but all of which together
will constitute one and the same instrument.

 

8. Non-Disclosure
and Non-Competition Agreement. The Employee acknowledges and agrees that the Non-Disclosure and Non-Competition Agreement he
previously signed with the Company is in full force and effect.  Notwithstanding anything to the contrary contained herein,
the remedies provided for in the Non-Disclosure and Non-Competition Agreement are separate and distinct from those provided for
in this Agreement and in no event shall such remedies be superseded by any provision contained herein.

 

9. Entire Agreement.
 Other than the Company’s Non-Disclosure and Non-Competition Agreement, this Agreement sets forth
the entire agreement of the parties hereto in respect of the subject matter contained herein and supersedes any and all other prior
agreements, promises, covenants, arrangements, communications, representations or warranties, whether oral or written, by any officer,
employee or representative of any party hereof; and any prior agreement of the parties hereto in respect of the subject matter
contained herein is hereby terminated and canceled.

 

10. Arbitration.  Except
as set forth in Section 15, the Employee and the Company agree that any claim, controversy or dispute between the Employee
and the Company (including, without limitation, its affiliates, officers, representative or agents) arising out of or relating
to this Agreement, the employment of the Employee, the cessation of employment of the Employee, or any matter relating to the foregoing
shall be submitted to and settled by commercial arbitration in a forum of the American Arbitration Association (“AAA”)
located in the State of New Jersey and conducted in accordance with the National Rules for the Resolution of Employment Disputes.  In
such arbitration: (i) the arbitrator shall agree to treat all evidence and other information presented by the parties to the same
extent as Confidential Information under the Non-Disclosure and Non-Competition Agreement must be held confidential by the Employee,
(ii) the arbitrator shall have no authority to amend or modify any of the terms of this Agreement, and (iii) the arbitrator shall
have ten business days from the closing statements or submission of post-hearing briefs by the parties to render his or her decision.  Any
arbitration award shall be final and binding upon the parties, and any court, state or federal, having jurisdiction may enter a
judgment on the award.  Each party shall bear its/his own costs of participating in any arbitration proceedings or other
dispute proceedings.  The foregoing requirement to arbitrate claims, controversies, and disputes applies to all claims
or demands by the Employee, including, without limitation any rights or claims the Employee may have under the Age Discrimination
in Employment Act of 1967 (which prohibits age discrimination in employment), Title VII of the Civil Rights Act of 1964 (which
prohibits discrimination in employment including discrimination based on race, color, national origin, religion, sex, or pregnancy),
the Americans with Disabilities Act of 1991 (which prohibits discrimination in employment against qualified persons with a disability),
the Equal Pay Act (which prohibits paying men and women unequal pay for equal work), ERISA, the New Jersey Law Against Discrimination,
the New Jersey Conscientious Employee Protection Act (or other federal or state whistleblower laws), or any other federal, state,
or local laws or regulations pertaining to the Employee’s employment or the termination of the Employee’s employment.
The Parties hereby confirm their understanding that by signing this Employment Agreement they are waiving any right to a trial
by jury, and are forfeiting any right to bring claims related to the Employee’s Employment at the Company in a court of law
(except as set forth in Section 11 and Section 15), regardless of whether such claims would be based on federal,
state or local law or regulations.

 

11. Choice of Law.  The
validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the State of New Jersey
without regard to its conflicts of law principles. 

 

12. Remedies of the
Company.  Notwithstanding the arbitration provisions of Section 13, upon any termination for Cause that may
cause irreparable harm to the Company or upon the violation of the Company’s Non-Disclosure and Non-Competition Agreement,
the Company shall be entitled, if it so elects, to institute and prosecute proceedings to obtain injunctive relief and damages,
costs and expenses, including, without limitation, reasonable attorneys’ fees and expenses, with respect to such termination
and/or violation.

 

13. Representations.  The
Employee has been advised to obtain independent counsel to evaluate the terms, conditions, and covenants set forth herein and he
has been afforded ample opportunity to obtain such independent advice and evaluation. The Employee warrants to the Company
that he has relied upon such independent counsel and not upon any representation (legal or otherwise), statement, or advice said
or offered by the Company or the Company’s counsel in connection herewith.

 

14. Section 409A.  
All provisions of this Agreement shall be construed and interpreted in a manner consistent with the requirements for avoiding taxes
or penalties under Section 409A of the Internal Revenue Code (“Section 409A”).  By way of example,
and not limitation, it is the intent of the parties that each installment of the Severance shall be designated as a separate payment
for all purposes under Section 409A and the first installment of the Severance shall be exempt from the application of Section
409A pursuant to the “short-term deferral” rule set forth in Section 1.409A-1(b)(4) of the Treasury Regulations. Notwithstanding
the above, if the Company determines that the Severance constitutes “nonqualified deferred compensation” within the
meaning of Section 409A, payment of such Severance shall not commence until the Employee incurs a “separation from service”
within the meaning of Treasury Regulation §1.409A−1(h) (“Separation from Service”). Moreover, if,
at the time of Employee’s Separation from Service, the Employee is a “specified employee” (under Section 409A),
the payment of any amount under this Agreement on account of Separation from Service that is deferred compensation subject to the
provisions of Section 409A and not otherwise excluded from Section 409A, including, but not limited to, subsequent installments
of such Severance shall not be paid until after the earlier of (i) the expiration of the six−month period measured from the
date of Employee’s Separation from Service with the Company, or (ii) the date of the Employee’s death (the “409A
Suspension Period”).

 

    	 	4	 

     

    

 

IN WITNESS WHEREOF,
the Employee has executed this Agreement, and the Company and IDT Telecom have caused this Agreement to be executed by their duly
authorized representatives, as of the date and year first written above.

 

	IDT Corporation	 
	 	 	 
	By: 	/s/ Shmuel Jonas	 
	 	Shmuel Jonas	 
	 	Chief Executive Officer	 
	 	 	 
	For purposes of Section 1 only:	 
	 	 	 
	IDT Telecom, Inc.	 
	 	 	 
	By:	/s/ Marcelo Fischer	 
	 	Marcelo Fischer	 
	 	Chief Financial Officer	 
	 	 	 
	EMPLOYEE:	 
	 	 	 
	 	/s/ Abilio Pereira	 
	 	Abilio Pereira	 

 

    	 	5EX-10.1

 Exhibit 10.1 

[NAME] 
 EMPLOYMENT
AGREEMENT 
 KEY ENERGY SERVICES, LLC (the “Company”), a Texas limited liability company with its
principal offices at 1301 McKinney Street, Suite 1800, Houston, Texas 77010, and                      (“Employee”)
enter into this Employment Agreement (this “Agreement”) effective the      day of              201     (the
“Commencement Date”) in order to outline the terms and conditions of Employee’s employment relationship with the Company during the term of this Agreement. Employee and the Company hereby agree as follows: 

1. Employment; Term of Agreement. Employee agrees to devote his full time and best efforts to serve as
                    , for the Company, having those duties and title specified from time to time by the Chief Executive Officer, Senior
Officers or the Board of Directors (the “Board”) of Key Energy Services, Inc. (“Key”). This Agreement will continue until the close of business on
            , 201_, unless earlier terminated in accordance with its terms, and shall be automatically renewed for successive one-year terms unless
either Employee or the Company gives written notice to the other, no later than thirty (30) days prior to the expiration of the then-current term that such automatic extension shall not occur (“Notice of Non-Renewal”). Employee will, if elected, serve as an officer and/or director of the Company, its parent, subsidiaries or affiliates (collectively, the “Key Companies”) and
perform all duties incident to such offices. This Agreement supersedes and replaces the Change of Control Agreement between Employee and the Company dated             
201    . 
 2.    Salary; Bonus; Expenses. The Company will pay a salary to
Employee at the annual rate of                      and NO/100 ($    ,000.00) (the “Base Salary”),
payable in substantially equal installments in accordance with the Company’s existing payroll practices, but no less frequently than monthly. Senior management of the Company will have discretion to review Employee’s compensation from time
to time as it deems appropriate and may, in its sole discretion, increase Employee’s Base Salary. In addition, Employee shall be eligible to participate in incentive plans in effect from time to time for the Key Companies’
similarly-situated executives, key employees and other persons involved in the business of the Company and in the Key Companies’ stock-based incentive plans outstanding from time to time. Under the Key Companies’ annual incentive bonus
plan and subject to the terms of the governing plan, Employee may be eligible to earn a discretionary cash bonus, with the amount of any such bonus in any given year to be determined by the senior management of the Company or the Board (or a
committee thereof) in their sole discretion, based upon the level of achievement of goals mutually established by Employee and the senior management of the Company (subject to Board approval). Such bonus shall be paid to Employee no later than
March 15 of the year following the year to which it applies, as a “short-term deferral” under Treas. Reg. 1.409A-1(b)(4). Employee will be reimbursed by the Company for reasonable
travel, lodging, meals and other expenses incurred by Employee in connection with performing his services hereunder in accordance with the Key Companies’ policies as in effect from time to time. 

3. Vacations; Benefits. Employee will be entitled to (i) not less than 20 vacation days per calendar year (prorated
for any partial year of service), with no carryover to subsequent years, and (ii) participation in such other fringe benefits, including, without limitation, personal time off, group medical and dental, life, accident and disability insurance,
retirement plans and supplemental 

  
 Employment Agreement of
                     
  

 
and excess retirement benefits as the Company may provide from time to time for similarly-situated employees of the Company; provided, however, that during the term of this Agreement, Employee
shall not be entitled to or eligible for severance under any other plan, program, policy, or agreement. 
 4. Termination and
Severance. Employee’s employment is at-will and may be terminated by Employee or the Company for any reason at any time during the term of this Agreement, subject to the severance provisions
below. Employee agrees that he has fully negotiated this Section 4 of his Agreement with the Company to provide for sufficient severance pay, as appropriate, upon termination of employment. 

 

	 	(a)	Termination of Employment by the Company for Cause; Termination of Employment by Employee other than for Good Reason or Within 10 Days of Company Providing Notice of
Non-Renewal. In the event (i) Employee’s employment is terminated by the Company for Cause or (ii) Employee voluntarily terminates his employment for any reason other than (y) Good
Reason following a Change in Control, as described below, or (z) within 10 days following Notice of Non-Renewal by the Company, the Company shall have no further obligations to Employee except that
accrued but unpaid salary through Employee’s termination date and any expense reimbursements owed Employee through the date of termination. As used in this Agreement, the term “Cause” shall mean (1) the willful and
continued failure by Employee to substantially perform Employee’s duties hereunder (other than any such willful or continued failure resulting from Employee’s incapacity due to Employee’s Disability (defined below)), (2) repeated
substandard work performance or repeated unreliability that has not been cured to the Company’s satisfaction after notice of the same as has been provided to Employee; (3) serious workplace misconduct, (4) Employee’s engagement
in misconduct that Employee knows or should know reasonably could be injurious to any of the Key Companies, monetarily or otherwise (including injurious to the reputation of such Company); (5) Employee’s conviction of a felony by a court of
competent jurisdiction or a plea of no contest to a felony charge, (6) fraud or other material dishonesty against any of the Key Companies, (7) the breach of any of the provisions hereof, or (8) the violation by Employee of any of the
Key Companies’ policies, rules or guidelines as in effect from time to time, including without limitation, the Code of Business Conduct, securities trading policy or anti-trust policy. 

 

	 	(b)	 Involuntary Termination of Employment Because of Death, Disability, or other than for Cause. In the
event Employee’s employment is involuntarily terminated during the term of the Agreement (i) by Employee’s death, (ii) due to Employee’s Disability (as defined below), or (iii) by the Company other than for Cause,
Employee will be eligible to receive (x) a lump sum severance payment equal to Employee’s annual Base Salary, less applicable deductions and withholdings, on the thirtieth (30th) day
following Employee’s termination, (y) continued coverage for Employee and his dependents under the Company’s medical and dental benefit plans for 12 months at a cost to Employee equal to the cost of such coverage for
similarly-

  
 Employment Agreement of
                     
  

2 

	 	
situated employees of the Company, which continued coverage shall immediately end upon obtainment of new employment and coverage under a similar welfare benefit plan (with the obligation to
promptly report such new coverage to the Company) and (z) accelerated vesting and immediate exercisability of all outstanding equity awards previously granted to Employee, with the vesting of equity awards that are based in whole or in part on
performance being determined by the Board (or a committee thereof) in compliance with Section 162(m) of the Internal Revenue Code and the regulations promulgated thereunder. Employee shall not be eligible to receive the severance payment, the
continued coverage or the accelerated vesting unless and until he (or in the event of Employee’s death, his estate) executes and returns on a timely basis, without revoking, a release of claims in a form acceptable to the Company. As used in
this Agreement, the term “Disability” means Employee’s inability, with or without reasonable accommodation, to perform Employee’s obligations and duties hereunder by reason of physical or mental illness or injury
for a period of 120 days. 

 (c) Notice of Non-Renewal by
Company. In the event the Company provides Employee with Notice of Non-Renewal of the Agreement at the end of the then-current term and the Company (i) terminates Employee’s employment at the
end of the then-current term or (ii) does not terminate Employee’s employment at the expiration of the then-current term, but Employee provides the Company with notice of resignation within ten business days from Employee’s receipt of
such Notice of Non-Renewal, Employee will be eligible to receive (x) a lump sum payment equal to Employee’s annual Base Salary at the time of termination of employment, less applicable deductions and
withholdings, on the thirtieth (30th) day following termination of the Agreement, (y) continued coverage for Employee and his dependents under the Company’s medical and dental benefit
plans for 12 months at a cost to Employee equal to the cost of such coverage for similarly-situated employees of the Company, which continued coverage shall immediately end upon obtainment of new employment and coverage under a similar welfare
benefit plan (with the obligation to promptly report such new coverage to the Company) and (z) accelerated vesting and immediate exercisability of all outstanding equity awards previously granted to Employee, with the vesting of equity awards
that are based in whole or in part on performance being determined by the Board (or a committee thereof) in compliance with Section 162(m) of the Internal Revenue Code and the regulations promulgated thereunder. Employee shall not be eligible
to receive the severance payment, the continued coverage or the accelerated vesting unless and until he (or in the event of Employee’s death, his estate) executes and returns on a timely basis, without revoking, a release of claims in a form
acceptable to the Company. 
  

	 	(d)	Involuntary Termination following a Change of Control. If, within one year following a Change of Control (as defined in Exhibit A) of Key, Employee resigns with Good Reason, as that term is defined below,
then Employee will be entitled to receive the payments and benefits set forth in Section 4(b) above. 

  
 Employment Agreement of
                     
  

3 

 “Good Reason” shall mean the occurrence of one or more of any of the
following without Employee’s consent within one year of the effective date of a Change in Control: 
 (1) A material diminution in
Employee’s base compensation, authority, duties or responsibilities from those in effect immediately prior to the date a Change in Control occurs; 

(2) The requirement that Employee primarily perform services under this Agreement from a location that is thirty (30) miles or greater
from the location at which Employee was required to primarily perform services immediately prior to the date a Change in Control occurs; or 

(3) Any other action or inaction by the Company that constitutes a material breach of this Agreement. 

Good Reason shall only be found to exist where (x) Employee provided written notice to Company of the existence of one of the
above conditions within 90 days of the initial existence of such condition, (y) the Company was provided 30 days from the date of Employee’s notice to remedy that condition (the “Cure Period”), and (z) the
condition was not remedied by the Company during the Cure Period. 
  

	 	(e)	Special Rules Pertaining to Termination. For purposes of this Agreement, Employee’s employment will not be considered to have terminated unless, as a result of a termination, Employee has had a
“separation from service” (as that term is defined in Treas. Reg. § 1.409A-1(h)) with the “Key Energy Controlled Group.” The term “Key Energy
Controlled Group” means the group of corporations and trades or businesses (whether or not incorporated) composed of the Company and every entity or other person which together with the Company constitutes a single “service
recipient” (as that term is defined in Treas. Reg. § 1.409A-1(g)) as the result of the application of Treas. Reg. § 1.409A-1(h)(3).

 5. Protection of Confidential Information. During Employee’s employment relationship with the Company,
the Company has provided and will continue to provide access to information that is among its increasing body of trade secrets, engineering data, proprietary data, intellectual property, customer data, or other confidential information of the Key
Companies, which will be necessary for Employee to perform his duties and responsibilities to the Company. Employee’s position is a position of trust and confidence that involves working with the Key Companies’ Confidential Information and
developing additional Confidential Information for use by the Key Companies. The Company has disclosed and will continue to disclose or grant access to Confidential Information to Employee after Employee’s execution and delivery of this
Agreement, in which Employee agrees to protect Confidential Information and in which Employee acknowledges the terms of which are no more restrictive than necessary to protect the Key Companies’ legitimate business interests, including
Confidential Information and goodwill. 

  
 Employment Agreement of
                     
  

4 

	 	(a)	Non-disclosure Obligation. During the period of Employee’s employment and forever thereafter, Employee will not, without the express written consent of the
Chief Executive Officer or the General Counsel or Chief Legal Officer of Key, directly or indirectly communicate or divulge to, or make available to, or use for Employee’s own benefit or for the benefit of any competitor or any other person or
entity, any Confidential Information, except to the extent that disclosure is required (i) at the Company’s direction or (ii) by a court or other governmental agency of competent jurisdiction. 

 

	 	(b)	Confidential Information Defined. “Confidential Information” refers to any item of information, or a compilation of information, in any form (tangible or intangible), related to the
Key Companies’ business that the Key Companies have not made public or authorized public disclosure of, and that is not generally known to the public or to other persons who might obtain value or competitive advantage from its disclosure or
use. Confidential Information will not lose its protected status under this Agreement if it becomes generally known to the public or to other persons through improper means such as the unauthorized use or disclosure of the information by Employee or
another person. Confidential Information includes, but is not limited to, personnel information (including information relating to any and all aspects of compensation of any and all employees of the Key Companies), ideas, discoveries, designs,
inventions, improvements, trade secrets, engineering data, proprietary data, intellectual property, customer data, technology, know-how, manufacturing processes, design specifications, writings and other works
of authorship, computer programs, financial information, accounting information, organizational structure, Key Companies’ expenditures, marketing plans, customer lists and data, business plans or methods and the like, that relate in any manner
to the actual or anticipated business of the Key Companies, as well as any and all information regarding the Key Companies other than information disclosed in public filings under the Securities Exchange Act of 1934, as amended. Confidential
Information shall not include information that is publicly available, unless such information became publicly available by reason of a breach of this Agreement by Employee. 

 

	 	(c)	 Steps to Protect Information. At all times, Employee agrees to use all reasonable and available
methods to prevent the unauthorized use or disclosure of Confidential Information. Depending upon the circumstances, available methods may include but are not limited to: marking information “Confidential,” sharing
information with authorized persons only on a need-to-know basis, maintaining the integrity of password protected computer systems, and otherwise storing information in
a manner that prevents unauthorized access. Employee shall maintain at his work station and/or any other place under his control only such Confidential Information as he has a current “need to know” in the furtherance of the
Key Companies’ business. Employee shall return to the appropriate person or location or otherwise properly dispose of Confidential Information once that need to know no longer exists. Employee shall not make copies of or otherwise reproduce
Confidential Information unless there is a legitimate business need of the Key Companies for reproduction. Employee shall not store electronic data of the Key Companies, including but not limited to Confidential Information, on any electronic
storage 

  
 Employment Agreement of
                     
  

5 

	 	
device that is not owned by the Company without prior consent of the Company. If Employee does store electronic data on an electronic storage device that is not owned by the Company, with or
without consent of the Company, Employee hereby agrees to surrender within three (3) business days following demand by the Company any and all such electronic storage devices to the Company for inspection, data retrieval, and data removal.

  

	 	(d)	Return of Confidential Information. Employee agrees that all Confidential Information received by Employee during Employee’s employment with the Company is, and shall be, the property of the Company
exclusively. Employee agrees to immediately return to the Company (or, with the Company’s permission, destroy) all of the material mentioned above, including memoranda or notes taken by Employee and all tangible materials, including, without
limitation, correspondence, drawings, blueprints, letters, notebooks, reports, flow-charts, computer programs and data proposals, at the request of the Company. No copies will be made by Employee, or retained by Employee, of any such Confidential
Information, whether or not developed by Employee. 

  

	 	(e)	Third Party Information. Employee acknowledges that the Company may receive from third parties their confidential information subject to a duty on the Company’s part to maintain the confidentiality of
such information and to use it only for certain limited purposes. Employee agrees that he owes the Company and such third parties, during the period of employment and thereafter, a duty to hold all such confidential information in the strictest
confidence and not to disclose or use it, except as necessary to perform his obligations hereunder and as is consistent with the Company’s agreements with such third parties. 

6. Intellectual Property; Assignment of Work Product. Employee shall assign and does hereby assign to the Key Companies,
the entire right, title and interest (including, but not limited to, rights to prepare derivative works, adaptations and modifications) for the entire world in and to all work performed, writings, formulas, designs, models, drawings, recordings,
photographs, design inventions and other inventions whether or not patentable, patents, copyrights, trade secrets, any other intellectual property rights, products, technology, and other proprietary rights made, conceived or reduced to practice or
authorized by the Key Companies, either solely or jointly with others pursuant to or in connection with services rendered under this Agreement or with use of information, materials or facilities of the Key Companies received or used by Employee
during the term of this Agreement. Employee agrees to sign, execute and acknowledge or cause to be signed, executed and acknowledged without cost, but at the expense of the Company, any and all documents and to perform such acts as may be necessary,
useful or convenient for the purpose of securing to the Company, or its nominees, patent, trademark or copyright protection throughout the world upon all such writings, formulas, designs, models, drawings, recordings, photographs, and inventions,
whether or not patentable, patents, copyrights, trade secrets, any other intellectual property rights, products, technology, and other proprietary rights, title to which the Company may acquire in accordance with the provisions of this clause.
Employee shall not contest the validity of any invention, any copyright, any trademark, or any mask work registration owned by or vesting in the Key Companies under this Agreement. 

  
 Employment Agreement of
                     
  

6 

 7. Consultation with Legal Counsel; Entire Agreement. Employee acknowledges and
agrees that Employee has been provided a reasonable time to review this Agreement with legal counsel and to consider the terms and provisions of this Agreement. Both parties acknowledge and agree that they are voluntarily entering into this
Agreement, after consultation with their legal counsel if so desired. This Agreement (together with any equity agreements pursuant to which equity is granted to Employee) contains the entire agreement between Employee and the Company and may not be
amended except by written agreement of Employee and a duly authorized representative of the Company. This Agreement supersedes any and all prior agreements and understandings between Employee and the Company regarding any and all aspects of his
employment relationship with the Company and any of its affiliates, whether written or oral [, except those terms provided for in the Offer Letter dated             , 2017 that are not
addressed herein]. To the extent there is any conflict between this Agreement and the Offer Letter, the terms of this Agreement shall control.  

8. Withholding and Certain Tax Matters. Employee acknowledges and agrees that any or all
payments under this Agreement may be subject to reduction for tax and other required withholdings. 
  

	 	(a)	Interpretation of Agreement. To the full extent possible, the terms of this Agreement shall be construed and administered so that no amount is includable in Employee’s gross income under Code Sec.
409A, and those sections of the Agreement relating to timing of payments shall be effective as of the Commencement Date of this Agreement. 

  

	 	(b)	Payment Schedule. Notwithstanding any provision of this Agreement, if the payment of any amount under this Agreement would cause an amount to be included in Employee’s gross income under
Section 409A of the Internal Revenue Code because the timing of such payment is not delayed as provided in Section 409A(a) (2) (B) of the Internal Revenue Code, then any such payments that Employee would otherwise be entitled to during the
first six months following the date of Employee’s separation from service shall be accumulated and paid on the date that is six months after the date of Employee’s termination of employment (or if such payment date does not fall on a
business day of the Company, the next following business day of the Company), or such earlier date upon which such amount can be paid without causing any amount to be included in Employee’s gross income under Section 409A of the Internal
Revenue Code. 

  

	 	(c)	 Tax Gross-up Payment. In the event that any amount arising
from Section 4(d) of this Agreement is includable in Employee’s gross income under Code Sec. 409A as the result of the terms of this Agreement and/or the administration of those terms (the “Included Amount”), then
the Company shall pay to Employee an amount equal to the 20% additional tax imposed under Code Sec. 409A on the Included Amount, together with any underpayment penalties and interest (the “Additional Tax”) resulting from the
inclusion of the Included Amount. The Company also will pay Employee an additional amount necessary to “gross up” Employee for additional income taxes on the Additional Tax payment, on the earlier of (a) the

  
 Employment Agreement of
                     
  

7 

	 	
thirtieth day following the date on which it is finally determined by a court or administrative agency that the Included Amount was includable, or (b) the last day of Employee’s taxable
year following the taxable year in which Employee remitted the taxes due as the result of the application of Code Sec. 409A. 

9. Governing Law. Any dispute concerning Employee’s employment or this Agreement will be governed and construed
exclusively in accordance with the laws of Texas applicable to agreements made and performed entirely within such state, without giving effect to any choice or conflicts of laws principles, with venue of any dispute arising out of or related to this
Agreement or to Employee’s employment exclusively found in Harris County, Texas. 
 10. Successors and Assigns. This
Agreement shall be binding upon and shall inure to the benefit of and be enforceable by the successors and assigns of the parties hereto, which in his case shall include his estate, heirs, executors, administrators, personal and legal
representatives, distributees, devisees, and legatees. 
 11. Counterparts. This Agreement may be executed in duplicate
counterparts, each of which shall be deemed to be an original and all of which, taken together, shall constitute one agreement. 

SIGNATURE PAGE FOLLOWS 

  
 Employment Agreement of
                     
  

8 

 IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first above
written. 
  

			
	KEY ENERGY SERVICES, LLC
		
	By:	 	 /s/ Robert Drummond

		 	ROBERT DRUMMOND
		 	President and Chief Operating Officer

 ACCEPTED AND AGREED: 
  

	
	  

	 [NAME]
 [Title]

  
 Employment Agreement of
                     
  

9 

 EXHIBIT A 

Definition of Change of Control of Key Energy Services, Inc. 

“Change of Control” shall mean: 

a. the consummation of a merger, consolidation, statutory share exchange or similar form of corporate transaction or event (a
“Business Combination”) involving the Company, which results in: (A) the holders of the Company’s voting securities immediately prior to the Business Combination no longer holding at least 60% of the total voting
power of (x) the entity resulting from such Business Combination (the “Surviving Entity”) or (y) if applicable, the parent company that directly or indirectly has beneficial ownership of at least 95% of the voting
power and (B) Platinum Equity Advisors, LLC and its affiliates no longer holding the ability to elect, directly or indirectly, (x) a majority of the members and (y) members holding a majority of the voting power, in each case, of the
board of directors of the parent (or, if there is no parent, the Surviving Entity); or 
 b. the consummation of a sale of
all or substantially all of the Company’s assets (other than to an affiliate of Platinum Equity Advisors, LLC); or 
 c.
the stockholders of the Company approve a plan of complete dissolution or liquidation of the Company. 
 Notwithstanding the
foregoing, a “Change of Control” shall not include any Chapter 11 proceeding except as otherwise provided in the joint prepackaged plan of reorganization of the Company and its debtor affiliates (the
“Plan”) and any supplement to the Plan incorporated prior to confirmation of the Plan; and provided further, none of (1) the facts or circumstances giving rise to the commencement of, or occurring in connection with, the
any case filed for the Company or its debtor affiliates under Chapter 11 of the bankruptcy code, (2) the issuance of shares of common stock of the Company reorganized pursuant to the Plan (“Reorganized Key”), or
(3) implementation or consummation of any other transaction pursuant to the Plan shall constitute a “change in ownership” or “change of control” (or a change in working control) of any executory
contract or other agreement (whether entered into before or after the date the Company files the Plan). 

  
 Employment Agreement of
                     
  

10

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