Document:

Exhibit
10.2

 

 

SERVICE
AGREEMENT

 

 

TMP
WORLDWIDE LIMITED (1)

 

and

 

P
DOLPHIN (2)

 

 

Orchard

99 Bishopsgate

London EC2M 3YU

Tel: 0171 392 0200

Fax: 0171 392 0201

 

 

Ref:
T009.16 NMD Dolphin SA D1

 

 

CONTENTS

 

	
  Clause

  	
   

  	
  Heading

  
	
  1

  	
   

  	
  Definitions and
  Interpretation

  
	
  2

  	
   

  	
  Appointment

  
	
  3

  	
   

  	
  Duties

  
	
  4

  	
   

  	
  Place of
  Employment

  
	
  5

  	
   

  	
  Full Time
  Employment and Other Interests

  
	
  6

  	
   

  	
  Remuneration

  
	
  7

  	
   

  	
  Expenses

  
	
  8

  	
   

  	
  Car

  
	
  9

  	
   

  	
  Holidays

  
	
  10

  	
   

  	
  Sickness Pay

  
	
  11

  	
   

  	
  Pension

  
	
  12

  	
   

  	
  Confidentiality

  
	
  13

  	
   

  	
  Inventions

  
	
  14

  	
   

  	
  Copyright

  
	
  15

  	
   

  	
  Termination

  
	
  16

  	
   

  	
  Normal
  Retirement Age

  
	
  17

  	
   

  	
  Protective
  Covenants

  
	
  18

  	
   

  	
  Warranty

  
	
  19

  	
   

  	
  Disciplinary
  Rules

  
	
  20

  	
   

  	
  General

  
	
  21

  	
   

  	
  Execution

  
	
   

  
	
   

  
	
  The Schedule

  	
  Summary of Terms and Conditions

  (Pursuant to s.1  Employment Rights
  Act 1996)

  
				

 

 

THIS AGREEMENT is made the 28 day of August 1998

 

BETWEEN:

 

(1)                                  TMP
WORLDWIDE LIMITED (No. 1881381) whose registered office is at Finsgate, 5-7
Cranwood Street, London EC1V 9EE (the “Company”); and

 

(2)                                  P
DOLPHIN of 5 Channings, Horsell, Woking GU21 4JB (the “Appointee”)

 

NOW IT IS HEREBY AGREED as follows:

 

1.                                       Definitions and Interpretation

 

1.1                                 In
this Agreement unless the context otherwise requires:

 

“Associated Company” means a company which
is for the time being a subsidiary, subsidiary undertaking or a holding company
of the Company or a subsidiary or subsidiary undertaking of any such holding
company;

 

“Auditors” means the auditors for the time
being of the Company;

 

“Board” means the board of directors of the
Company or a duly authorised committee thereof;

 

“Employment” means the employment of the
Appointee pursuant to this Agreement or, as the context requires, its duration;

 

“Financial Year” means a year or other
accounting period in respect of which the Company’s accounts are made up;

 

“Group” means the Company and its Associated
Companies and any of them for the time being;

 

“holding company”, “subsidiary” and “subsidiary
undertaking” have the meanings respectively ascribed thereto by
s.736 and s.258 Companies Act 1985;

 

 

“Holiday Year” means the period of 12
consecutive calendar months commencing on 1st January in each year;

 

“Inventions” means any discovery, technique,
design, formula, method of manufacture, inventions, secret process,
improvements and modifications (whether or not capable of protection by rights
in the nature of intellectual property( which the Appointee alone or with one
or more others has made or discovered during any previous period of employment
with the Company or may make or discover during the Employment and which
pertain to or result from any work which the Appointee has done or may
hereafter do for the Group;

 

“The Stock Exchange” means London Stock
Exchange Limited;

 

“TMP Group” means TMP Worldwide Holdings
Limited and its subsidiaries for the time being, and

 

“TMP” means TMP Worldwide Inc., the
Company’s ultimate holding company.

 

1.2                                 Any
reference to the provisions of an enactment shall be deemed to refer to the
same as in force (including any amendment or re-enactment) at the time by
reference to which the same falls to be interpreted.

 

1.3                                 References
to Clauses and Schedules are, unless otherwise stated, references to Clauses of
and Schedules to this Agreement.

 

1.4                                 Headings
and the use of emphases in this Agreement are for convenience only and shall
not affect the interpretation of this Agreement.

 

1.5                                 Where
the context permits, the singular includes the plural and vice versa and one
gender includes any gender. Words importing individuals shall be treated as
importing corporations and vice versa and words importing whole shall be
treated as including a reference to any part thereof.

 

2

 

1.6                                 The
Schedules form an integral part of this Agreement and references to “this
Agreement” shall be construed accordingly.

 

2.                                       Appointment

 

2.1                                 The
Company hereby appoints the Appointee and the Appointee hereby agrees to be
employed as the Managing Director of the European business of TMP Worldwide.

 

2.2                                 The
Employment shall commence by the date hereof and shall continue (subject to
termination as hereinafter provided) for a period of two years and thereafter
unless and until determined by either party giving to the other not less than
twelve months’ prior written notice expiring on or at any time after the second
anniversary of the date hereof.

 

2.3                                 The
Employment is continuous with the Appointee’s previous employment with the
Company which commenced on 1 September 1971.

 

2.4                                 If
either party (for whatever reason) gives notice to the other party to terminate
the Employment, then during the period of such notice the Company shall not be
obliged to provide the Appointee with work and the Company may require the
Appointee not to attend at any of the Company’s premises nor to undertake any
work for the Company during the period of such notice.  Save for the matters stipulated in the
preceding sentence of this Clause 2.4, during such notice period the Appointee
shall be obliged to abide by all the terms of this Agreement (including,
without limitation, his obligation under Clause 5 not to be engaged or
interested in any other employment except the Employment).

 

2.5                                 The
Company shall be entitled at its sole discretion to make payment in lieu of
notice to terminate the Employment.

 

3.                                       Duties

 

3.1                                 The
Appointee will perform to the best of his ability all the duties of a Managing
Direct and such other functions in the Group (not inconsistent with his position
as the Managing Director of the European Business of TMP Worldwide) as the
Board may reasonably require and whenever required so to do give an account to
the Board or a person duly authorised by the Board of all matters with which he
is entrusted.

 

3

 

3.2                                 During
the continuance of the Employment the Company shall be at liberty from time to
time to appoint any other person to be a Managing Director of the European
Business jointly with the Appointee.

 

3.3                                 The
Appointee shall carry out his duties hereunder between the hours of 9:15 am and
5:30 pm on normal working days and during such other hours as may from time to
time he necessary in order to fulfill properly his duties hereunder and he
shall not be entitled to extra remuneration for work performed outside normal
working hours.

 

3.4                                 The
Appointee shall well and faithfully serve the Company and shall use his best
endeavours to promote the interests of the Company and shall not knowingly or
willingly permit to be done anything to the prejudice, loss or injury of the
Company or any member of the Group.

 

4.                                       Place of Employment

 

4.1                                 The
Appointee shall attend and work at any premises of the Group wheresoever
situated and the Company may upon giving three months’ notice to the Appointee
reasonably direct the Appointee to serve in such place or places including
places inside the United Kingdom and for such periods as the Company may
reasonably require or to such other countries outside the United Kingdom with the
agreement of the Appointee.

 

4.2                                 The
Company shall pay any reasonable relocation expenses reasonably incurred by the
Appointee where the Appointee is required pursuant to this Clause to serve in
any place which entails an average daily commute by car in both directions of
not more than two hours and thirty minutes from the Appointee’s current
address.

 

5.                                       Full Time Employment and Other
Interests

 

During the continuance of the Employment, the
Appointee shall devote the whole of his time, attention and abilities to his
duties hereunder and he shall not without the prior written consent of the
Company (which the Company shall be under no obligation to give) be directly or
indirectly engaged, concerned or interested in any other business or occupation
or become a director or employee or consultant or agent or partner of any other
person, firm or company but so that nothing herein contained shall preclude the

 

4

 

Appointee from holding by way of bona fide investment
only shareholdings in any company whose shares are listed on a recognised
investment exchange or dealt in the Alternative Investment Market which when
aggregated with shares or Securities beneficially owned by his wife and
children and step-children entitle him to no more than five per cent of the
voting power of any company which is not a business competitor of the Group.

 

6.                                       Remuneration

 

6.1                                 During
the continuance of the Employment, the remuneration of the Appointee shall be:

 

(a)                                  a
salary (inclusive of any director’s fees payable to him) at the rate of
£175,000 per annum payable by equal monthly installments in arrears on or
around the 25th day of each month with such increments thereto as the Company
may from time to time determine and

 

(b)                                 if
the Company achieves the operating profit target for each Financial Year as set
out in the budgets for the TMP Group which are agreed by the Board and TMP (the
“Profit Target”), the Appointee shall be paid an annual bonus by the Company
which shall be twenty per cent (20%) of the salary set out in Clause 6.1(a)
(the “Base Salary”).

 

Such annual bonus shall be paid to the Appointee by
the last day of February in each calendar year.

 

6.2                                 If
in any Financial Year the TMP Group acquires any business or any shares in any
company which then form part of the TMP Group, the Appointee hereby confirms
that the Board and TMP shall be entitled to amend the Profit Target for the
relevant Financial Year to take account of the Board’s and TMP’s reasonable
view of the impact of any such acquisition on the Profit Target for the
remainder of the Financial Year.

 

6.3                                 For
any broken period of a Financial Year of the Company the amount (if any)
payable to the Appointee by way of bonus shall be ascertained on a pro rata
basis by reference to

 

5

 

the proportion which the period during which the Employment continued
bears to the whole of such Financial Year.

 

6.4                                 If
the Employment shall be terminated by the Appointee in breach of the terms of
this Agreement, any bonus in respect of the Financial Year during which the
Employment is so terminated shall be payable to the Appointee only if, in its
absolute discretion, the Company so decides.

 

6.5                                 The
Company shall be entitled at any time during the Employment or in any event on
termination, howsoever arising, to deduct from the Appointee’s salary any
monies properly due from him to the Company or any Associated Company.

 

6.6                                 The
Base Salary shall be reviewed by the Company annually on 1 January in each year
of the Employment.

 

7.                                       Expenses

 

The Company shall reimburse to the Appointee all
travelling, hotel and other expenses properly and reasonably incurred by him in
or about the performance of his duties hereunder, provided the Appointee
provides the Company with such evidence of the same as the Company may
reasonably require.

 

8.                                       Car

 

8.1                                 To
assist him in the performance of his duties hereunder the Company shall during
the Employment provide the Appointee with a car suitable for use by a person of
his status in line with the Company’s car policy or, at the discretion of the
Appointee, a car allowance of ten per cent (10%) per annum of the Base Salary
and permit him to use it for his own private purposes, including use on
holidays. The Company shall from time to time when it so determines replace the
same by another suitable car and shall (subject as hereinafter provided) pay
all vehicle excise duty, insurance premiums and running expenses of such car
(including those attributable to the Appointee’s use of the same for his
private purposes).

 

8.2                                 The
Appointee’s use of the said car shall be on terms that he will:

 

6

 

(a)                                  take
good care of the car and ensure that it is in the state and condition required
by law and that the provisions and conditions of any policy of insurance
relating to it are observed;

 

(b)                                 not
permit the car to be taken out of the United Kingdom without the prior written
consent of the Company; and

 

(c)                                  return
the car (or such replacement as aforesaid) and its keys to the Company’s
registered office or such address as the Company may direct immediately upon
request by the Company or immediately upon the termination of the Employment
whichever is the earlier.

 

9.                                       Holidays

 

9.1                                 The
Appointee shall be entitled with full remuneration (in addition to the normal
public holiday) to 25 working days holiday in each Holiday Year to be taken at
a time or times to be agreed with the Board.

 

9.2                                 Such
holiday entitlement shall be deemed to accrue from day to day but may not be
carried over from one Holiday Year to the next unless otherwise approved by the
Board. The Appointee shall not be entitled to receive holiday pay in respect of
any holiday accrued but not taken by him, save that on the termination of the
Employment he shall be entitled to receive holiday pay in respect of holiday
accrued in the Holiday Year in which the Employment terminates but not taken at
the date of such termination.

 

10.                                 Sickness Pay

 

10.1                           The
Appointee will be entitled to remuneration in full during the first three
months of absence from the Employment in any calendar year due to sickness or
injury and, for any subsequent such absence in the same calendar year, to such
remuneration as the Board may deem appropriate PROVIDED THAT upon any amount
becoming payable to the Company in respect of a period of sickness of the
Appointee under the Company’s permanent health insurance scheme for the time
being in force (if any), the sole entitlement of the Appointee to remuneration
during any continuation thereafter of such period of sickness shall be an
amount

 

7

 

equal to the net amount (if any) received by the Company in respect of
the Appointee under such Scheme.

 

10.2                           The
foregoing is without prejudice to the Appointee’s entitlement to statutory sick
pay (“SSP”)
in accordance with the Social Security and Housing Benefits Act 1982 provided
that any payment made under this Agreement in respect of a day of sickness will
include the Appointee’s SSP payment for that day. Any sickness or other
benefits to which the Appointee may be entitled under any social security,
national insurance or other legislation for the time being in force whether or
not such benefit is actually received by the Appointee (and the Appointee shall
be solely responsible for claiming such benefits or any benefit received by him
as a result of contributions paid by the Company to any health insurance
scheme, in respect of a day of sickness shall be deducted from the payment to
be made under this Agreement in respect of that day.

 

10.3                           In
respect of any absence from the Employment due to sickness or injury lasting
more than seven days, the Appointee shall send to the Board a statement of his
disability signed by a medical practitioner. 
In the event that the Appointee does not provide a statement of
disability within the said period the Company shall be entitled to withhold any
sick pay payable pursuant to this Clause, until such time as the Appointee
shall have provided evidence satisfactory to the Company of his sickness or
injury.

 

10.4                           If
the Appointee receives any sums by way of compensation for loss of earnings
from a third party or under any health insurance scheme as a result of illness
or  accident
in respect of a period during which the Company is making payments to him, the
payments to be made by the Company shall be reduced accordingly.

 

10.5                           The
Company shall provide medical expenses insurance cover for the Appointee and
his wife and children in accordance with the scheme operated by the Group from
time to time.  The Appointee shall also
be entitled to join the Group’s permanent health scheme at the Company’s cost
at any time after the date hereof.

 

10.6                           The
Appointee shall at the expense of the Company submit at any time to a medical
examination by a registered medical practitioner nominated by the Company and
shall

 

8

 

authorise such medical practitioner to disclose to and discuss with the
Company’s medical adviser the results of the examination and the matters which
arise from it so that the Company’s medical adviser can notify the Company of
any matters he considers might impair the Appointee’s ability to properly
discharge his duties.

 

11.                                 Pension

 

11.1                           The
Appointee shall be entitled at his option to contributions from the Company of
an amount equal to 15% of the Base Salary to a personal pension (or for such
other investments where the contributions made to a personal pension by the
Company on behalf of the Appointee exceed the maximum contribution permitted by
law) of his choice.

 

11.2                           The
Appointee shall be entitled to become a member of the Company’s Life Assurance
Scheme, subject to the rules of that scheme, a copy of which will on request be
made available for inspection.

 

12.                                 Confidentiality

 

12.1                           The
Appointee shall not (except in the proper course of his duties hereunder or as
may be required by law) either during or at any time after the termination of
the Employment divulge to any person whomsoever and shall use his best
endeavours to prevent the unauthorised publication or disclosure of and shall
not use for his own purposes or for any purposes other than those of the Group
any knowledge or information relating to any trade secret, process or invention
or concerning the business or finances of the Group or any dealings,
transactions or affairs of any of them or of any officers or employees of the
Group or any other information of a confidential character (including
confidential information belonging to or relating to any third party) which may
come to his knowledge during or in the course of the Employment. Such
restrictions shall not apply to any knowledge or information which is or may
become (otherwise than through the default of the Appointee) available to the
public generally.

 

12.2                           All
notes, memoranda, records and samples made or used by the Appointee in relation
to any of the knowledge or information referred to in Clause 12.1 shall be and
remain the property of the Group and shall be delivered together with all
copies thereof, to the Company or

 

9

 

as it shall direct from time to time on demand or forthwith when the
Appointee leaves the service of the Group.

 

13.                                 Inventions

 

13.1                           The
Appointee will disclose and deliver to the Company for the exclusive use and
benefit of the Company and the Group any Inventions promptly upon the making,
devising or discovering of the same, and will give all information and data in
his possession as to the exact mode of working, producing and using the same
and also all such explanations and instructions to the Company as may in the
view of the Board be necessary to enable the full and effectual working,
production or use of the same and will at the expense of the Company furnish it
with all necessary plans, drawings, formulae and models.

 

13.2                           The
Appointee will without charge to but at the expense of the Company execute and
do all acts, matters, documents and things necessary to enable the Company or
its nominee to apply for and obtain protection for the Inventions in any or all
countries and to vest title thereto in the Company or its nominee absolutely.

 

13.3                           The
Appointee hereby irrevocably appoints the Company to be his attorney in his
name and on his behalf to execute and do such acts, matters, documents and
things as aforesaid and generally to use his name for the purpose of giving to
the Company (or its nominee) the full benefit of the provisions of this
Clause.  In favour of any third party a
certificate signed by any director or the Secretary of the Company that any
instrument or act falls within the authority hereby conferred shall be
conclusive evidence that such is the case.

 

13.4                           During
the Employment and at all times thereafter the Appointee will (whether by omission
or commission) do nothing to affect or imperil the validity of the protection
for the Inventions obtained or applied for by the Company or its nominee
pursuant to this Clause. The Appointee will at the direction and expense of the
Company render all assistance within his power to obtain and maintain such
protection or application or any extension thereof.

 

13.5                           Nothing
in this Agreement shall oblige the Company or any Associated Company to seek
patent or other protection for any Invention nor to exploit any Invention.

 

10

 

14.                                 Copyright

 

14.1                           The
Appointee shall promptly disclose to the Company all copyright works or designs
originated, conceived, written or made by him alone or with others (except only
those works originated, conceived, written or made by him prior to his
appointment) and shall until such rights shall be fully and absolutely vested
in the Company hold them in trust for the Company.

 

14.2                           the
Appointee hereby assigns to the Company by way of future assignment all
copyright design right and other proprietary rights if any for the full terms
thereof throughout the World in respect of all copyright works and designs
originated, conceived, written or made by the Appointee (except only those works
or designs originated, conceived, written or made by the Appointee wholly
outside his normal working hours and wholly unconnected with his appointment)
during the period of his employment hereunder.

 

14.3                           The
Appointee hereby irrevocably and unconditionally waives in favour of the
Company any and all moral rights conferred on him by Chapter IV of Part I of
the Copyright Designs and Patents Act 1988 for any work in which copyright or
design right is vested in the Company whether by this Clause 14 or otherwise.

 

14.4                           The
Appointee will at the request and expense of the Company do all things
necessary or desirable to substantiate the rights of the Company under Clauses
14.2 and 14.3 and it is hereby acknowledged and agreed that the provisions of
this Clause shall survive any termination of the Employment.

 

11

 

15.                                 Termination

 

15.1                           The
Company may at any time by notice in writing to the Appointee forthwith
terminate the Employment and the Appointee shall have no claim against the
Company in respect of such termination, if the Appointee shall:

 

(a)                                  commit
any material breach of this Agreement, other than such a breach which is
capable of remedy and is remedied by the Appointee within 14 days of the
Company requesting the same in writing, or continue (after being warned) any
other breach of any of his obligations (whether under this Agreement or
otherwise) to the Company or any Associated Company;

 

(b)                                 be
guilty of any fraud or grave misconduct or be convicted of any criminal offence
(other than a motoring offence not resulting in a custodial sentence);

 

(c)                                  have
a bankruptcy order made against him or compound or make any arrangement with
his creditors;

 

(d)                                 be
guilty of conduct tending to bring himself, the Company or any Associated
Company into disrepute;

 

(e)                                  be
or become prohibited by law from being a director;

 

(f)                                    be,
for any cause, incapacitated from efficiently performing his duties hereunder
for 26 consecutive weeks, or for periods aggregating 130 working days in any
period of 52 weeks, or

 

(g)                                 become
of unsound mind or a patient for any purpose of any legislation relating to
mental health.

 

15.2                           In
order to investigate a complaint against the Appointee of misconduct or where
the Company has reason to believe that the Appointee may be guilty of
misconduct, the Company shall be entitled to suspend the Appointee on full pay
for so long as may be necessary to carry out a proper investigation and hold a
disciplinary hearing.

 

12

 

15.3                           In
any case where the Transfer of Undertakings (Protection of Employment)
Regulations 1981 (as amended) do not operate to transfer the employment of the
Appointee hereunder, if the Appointee shall refuse to agree to the transfer of
his employment under this Agreement to a company which has acquired or agreed
to acquire the whole or substantially the whole of the undertaking and assets
or the equity share capital of the Company for a period not less than the then
unexpired term of the Employment and on terms not less favourable to him than
the terms of this Agreement the Appointee shall have no claim against the
Company in respect of the termination of his Employment by the Company
hereunder.

 

15.4                           Any
termination of this Agreement (howsoever occasioned) shall not affect the
coming into force or the continuance in force of any provision hereof which is
expressly or by implication intended to come into force on or after termination
hereof.

 

15.5                           Unless
the Company waives its right to receive his resignation, the Appointee shall,
on the termination of the Employment howsoever arising, give notice resigning
forthwith (without claim for compensation) as a director of the Company and
from all offices held by him in any Associated Company. In the event of such
notice not having been received by the Company within seven days of the
termination of the Employment the Appointee hereby irrevocably appoints the
Company to be his attorney for the purpose of giving such notice in his name
and on his behalf and of doing all things requisite to give effect thereto.

 

15.6                           The
Appointee shall not at any time after he shall have given or received notice of
termination of the Agreement make any public statements in relation to the
Company or the Group and shall not after the termination of the Agreement
represent himself as being employed by or connected with the Company or any
Associated Company.

 

16.                                 Normal Retirement Age

 

The Company’s normal retirement age is 65 for both men
and women. In the absence of agreement to the contrary this Employment will
terminate automatically on the date on which the Appointee reaches his 65th
birthday.

 

13

 

17.                                 Protective Covenants

 

17.1                           The
Appointee hereby covenants with the Company for itself and separately as agent
for each of the Associated Companies that:

 

(a)                                  he
will not either during the Employment or for a period of twelve months after
the termination of the Employment hereunder for whatever cause in England or
Wales or Scotland or the Channel Islands or the Isle of Man or Northern Ireland
carry on or be engaged, concerned or interested in the business of recruitment
advertising or any other business which is competitive with or likely to be
competitive with the businesses of the Company or any Associated Company. If,
following termination of the Employment, the Appointee wishes to be engaged or
employed by a person, company or organisation which does not operate primarily
in the recruitment industry or is not directly competitive with the TMP Group,
the Appointee shall be entitled to be so engaged or employed only with the
written consent of the Chairman of TMP Worldwide Inc., such consent not to be
unreasonably withheld or delayed. It being acknowledged that it would be reasonable
for consent to be withheld where the Appointee’s said engagement or employment
may adversely affect the trading or financial position of the TMP Group;

 

(b)                                 that
he will not either during the Employment or for a period of twelve months after
the termination of the Employment solicit the services of or entice away from
the Company or any of its Associated Companies or offer employment to any
person who is or at any time during the period of twelve months expiring on the
date of such termination was, an employee of the Company or any such Associated
Company in a management or executive position;

 

(c)                                  he
will not either during the Employment or for a period of twelve months after
the termination of the Employment canvass, solicit for orders or entice away
from the Company or any Associated Company or provide services to, in respect
of services similar to those being promoted by the Company or any Associated
Company, any person who is or who has been at any time within the period of
twelve months expiring on the date of such termination, a customer of the
Company or any Associated Company where such goods or services compete with
those sold or provided by the Company or any Associated Company;

 

14

 

(d)                                 he
will not either during the Employment or at any time after the termination of
the Employment use or permit to be used any trade or service name or get-up
used in the Company or any of its Associated Companies (or at any time within
the twelve months prior to the termination of the Employment) or any other name
likely to be confused with such name or get-up;

 

(e)                                  he
will not either during the Employment or at any time after the termination of
the Employment use as all or part of its name or as a trade or service mark or
part thereof or as the get-up for trading in goods or services, the words
“TMP”, “TMP Worldwide”, “Austin Knight”, “Monsterboard”, “MSL” or “MDK” or any
colourable imitation thereof (in each case whether or not such words are
separated by other words).

 

17.2                           The
restrictions set out in this Clause 17 shall apply whether the relevant
activities are carried on directly or indirectly by the Appointee or whether
the Appointee is interested or concerned either solely or jointly with or as
employee, secondee, manager, adviser, consultant, partner or agent for any
other person or as a shareholder to director of a company (but disregarding for
this purpose any interest of a person in securities which are listed on The
Stock Exchange or traded on the Alternative Investment Market of The Stock
Exchange where such interest is in securities which, in all circumstances,
carry 5% or less of the voting rights (if any) attaching to the issued
securities of that class).

 

17.3                           The
restrictions set out in this Clause 17, are considered by the parties having
regard to the Appointee’s duties hereunder and his position in relation to the
Company’s or any Associated Company’s business to be no more extensive than is
reasonable and necessary for the protection of the legitimate interests of the
Company or any Associated Company. The benefit of each such restriction shall
be enforceable by the Company or any Associated Company independently of each
of the others and its enforceability shall not be affected by any invalidity of
any of the others.  If any such
restriction shall be found to be void which would be valid if some part thereof
were deleted or the period or area of application thereof were reduced, such
restriction shall apply with such modifications as may be necessary to make it
valid or effective.  The Company may by
notice to the Appointee at any time reduce in whole or in part the scope of

 

15

 

such restrictions to such extent as the Company shall in its absolute
discretion determine and thereupon such restrictions shall apply as modified by
such notice.

 

18.                                 Warranty

 

The Appointee represents and warrants to the Company
that he is not a party to any agreement, contract or understanding, whether of
employment or otherwise which would in any way restrict or prohibit him from
undertaking or performing the duties of the Employment or any of them in
accordance with the terms and conditions of this Agreement.

 

19.                                 Disciplinary Rules

 

The terms of this Agreement constitute the
disciplinary rules to which the Appointee is subject. If the Appointee is
dissatisfied with any disciplinary decision or has any grievance relating to
his employment hereunder he should address himself to the Board, which may at
its discretion delegate consideration of the matter to one or more members of
the Board or to a committee which may contain one or more persons who are not
members of the Board. The decision of the Board, or of the persons or committee
to which consideration of the matter is delegated, shall be final.

 

20.                                 General

 

20.1                           Any
notice required to be served hereunder may be served personally or by being
sent by prepaid first class post in the case of a notice to the Appointee to
his address hereinbefore mentioned or other his last known place of abode and
in the case of the Company to its registered office for the time being marked
for the attention of the Secretary. Any notice so given shall be deemed to have
been received at the time of delivery in the case of personal service or at the
expiration of 48 hours after it is posted.

 

20.2                           This
Agreement supersedes all prior agreements and arrangements between the parties
relating to the employment of the Appointee which shall upon execution hereof
be terminated and neither party to this Agreement shall have any claim against
the other in respect of the termination thereof.

 

16

 

20.3                           This
Agreement shall be governed by and construed in accordance with the Laws of
England and Wales and the parties hereby submit to the exclusive jurisdiction
of the English and Welsh Courts.

 

21.                                 Execution

 

21.1                           This
document is intended to be executed as a deed and shall not be treated as
delivered until it is dated.

 

21.2                           This
Deed may be executed in any number of counterparts, all of which taken together
shall constitute one and the same instrument. The execution by a party of one
or more counterparts shall constitute execution by that party of this Deed for
all purposes.

 

IN WITNESS whereof this document has been
executed and delivered as a deed the day and year first above written.

 

17

 

THE
SCHEDULE

Summary of Terms and Conditions

(Pursuant to s.1 Employment Rights Act 1996)

 

1.                                       The
Agreement: The Service Agreement dated 28 August 1998 and made between the
Company and the Appointee.

 

2.                                       Name
of Employer: TMP Worldwide Limited

 

3.                                       Name
of Employee: P Dolphin

 

4.                                       Job
Title:                          Managing
Director of TMP Worldwide’s European business

 

5.                                       Place
of work/Address of the Company: 32 Aybrook Street, London W1M 3JL. The
Appointee may be required to travel from time to time, for such period and to
such places as the Company deems fit. 
If the Appointee is required to work outside the United Kingdom for more
than one month, the period, currency of remuneration, additional remuneration
payable and any conditions relating to the return to the United Kingdom will be
specified by the Company at such time.

 

6.                                       Date
of Commencement of Employment:  28
August 1998

 

7.                                       Term
of Employment: two years from the date of the Agreement and thereafter subject
to Notice (see below).

 

8.                                       This
Employment is continuous with any previous period of employment with the
Company which commenced on 1 September 1971.

 

9.                                       Remuneration:
£175,000.

 

10.                                 Hours
of Work:  9:15 am to 5:30 pm and such
further working hours as may be necessary for the Appointee to fulfil his
duties.

 

11.                                 Holidays:
25 working days per Holiday Year with full remuneration.

 

12.                                 Sickness
or Injury: Clause 10 of the Agreement.

 

18

 

13.                                 Pension:
Clause 11 of the Agreement.

 

14.                                 Notice:
Not less than twelve months’ prior written notice by the Company or the
Appointee expiring on or at any time after two years from the date of the
Agreement.

 

15.                                 Discipline
and Grievance Procedure: Clause 19 of the Agreement.

 

16.                                 Collective
Agreements: None.

 

 

	
  Signed as a Deed by

  	
  )

  	
   

  
	
  P. DOLPHIN

  	
  )

  	
  /s/ Peter Dolphin

  	
   

  
	
  in the presence of:

  	
  )

  	
   

  
	
  Independent Witness

  	
  )

  	
  /s/ Catherine Mellon

  	
   

  
	
  Name

  	
  )

  	
  Catherine Mellon

  
	
  Address

  	
  )

  	
  38 Ponsand Road, London
  NW106BL

  
	
  Occupation

  	
  )

  	
  Secretary

  
	
   

  	
   

  	
   

  
	
  Signed by

  	
   

  	
   

  
	
  For and on behalf of

  	
  )

  	
   

  
	
  TMP WORLDWIDE LIMITED

  	
  )

  	
  /s/ Stephen Cooney

  	
   

  
	
  in the presence of:

  	
  )

  	
   

  
	
  Independent Witness

  	
  )

  	
  /s/ Catherine Mellon

  	
   

  
	
  Name

  	
  )

  	
  Catherine Mellon

  
	
  Address

  	
  )

  	
  38 Ponsand Road, London
  NW106BL

  
	
  Occupation

  	
  )

  	
  Secretary

  

 

19Exhibit 10.3

 

April 28, 2003

 

Paul Camara

 

Dear Paul,

 

This will confirm our understanding regarding any
termination of your employment with TMP Worldwide Inc. (“TMPW” or the
“Company”).

 

1.             SEVERANCE.  If your employment with TMPW is terminated
by TMPW for any reason other than Cause (defined below), then subject to the
terms hereof you shall be entitled to (i) receive severance equal to eighteen
months’ salary, payable in equal semi-monthly installments over eighteen months
(provided that if such termination occurs on or after January 1, 2003, both
references to “eighteen months” in the proceeding clause shall be changed to
“two years”), (ii) through the date which is twenty one (21) months after the
last day of your employment make available to you (and/or pay COBRA premiums
on) medical and dental benefits on the same terms and conditions as would have
been made available to you had you remained employed by TMPW during such
period, and (iii) after the expiration of this twenty one month period and for
so long as you shall live, to provide you with (or reimburse you for the
premiums on) medical and dental benefits substantially similar to those that
would have been available to you had you remained employed by TMPW during such
period, it being understood however that from and after the date you became
eligible for Medicare coverage the medical and dental benefits called for by
this clause (iii) shall be supplemental benefits.  It is understood that all of the foregoing obligations are
expressly conditioned on your signing, delivering and not exercising any right
to revoke a separation agreement and general release in TMPW’s then standard
format.  “Cause” shall mean the
occurrence of any one or more of the following events:  (i) your willful failure or gross negligence
in performance of your duties or compliance with the reasonable directions of
the Chairman or the Board of Directors of TMPW that remains unremedied for a
period of twenty (20) days after the Chairman or the Board of Directors of TMPW
has given written notice specifying in reasonable detail your failure to
perform such duties or comply with such directions; (ii) your failure to comply
with a material employment policy of TMPW that remains unremedied for a period
of twenty (20) days after the Chairman or the Board of Directors of TMPW  has given written notice to you specifying
in reasonable detail your failure to comply; or (iii) your commission of (a) a
felony, (b) criminal dishonesty, (c) any crime involving moral turpitude or (d)
fraud.  In the event that your
employment is terminated by you within a period of twelve months following a
Change in Control (as defined below) such event shall, for purposes of post
employment compensation under this agreement only, be deemed to be a
termination by the Company without “Cause” subject, however, to the provisions
of Section 3 below.  All severance
payments shall be reduced by applicable withholding taxes, payroll deductions
and amounts required by law to be withheld.

 

2.             OPTIONS
AND STOCK.  In the event of the
termination of your employment by TMPW for reasons other than Cause, the
options granted to you under stock option agreements dated

 

 

Mr. Paul Camara

April 28, 2003

 

September 11, 2002, September 10, 2001, August 5, 1999
and December 9, 1998, as well as any other options granted to you by TMPW from
time to time after the date hereof pursuant to written option agreements
(collectively, the “Designated Option Agreements”), shall automatically and
immediately become (i) fully vested and (ii) exercisable for the balance of the
ten year term provided by the applicable stock option agreement, subject to the
other terms of such option agreement, and (iii) in the event of any Change in
Control (as defined in Option Agreement dated September 11, 2002):

 

(a)           the options covered by the Designated
Option Agreements, shall automatically and immediately become (i) fully vested
and (ii) exercisable for the balance of the ten year term provided by the
applicable stock option agreement, subject to the other terms of such option
agreement; and

 

(b)           the shares of Company Common Stock
covered by the Stock Bonus Agreement dated September 11, 2002 shall
automatically and immediately become fully vested,

 

subject in each case of (a) and (b) to the provisions
of Section 3 below.

 

3.             SECTION
280G.  Notwithstanding anything in
Section 2 to the contrary, you shall in no event be entitled to any
payment or acceleration of options or shares of Company common stock that would
cause any portion of the amount received by you to constitute an “excess
parachute payment” as defined under Section 280G of the Internal Revenue Code
of 1986, as amended (the “Code”).  In
furtherance of the provisions of this Section 3, the following provisions shall
apply:

 

(1)           Anything in this agreement to the
contrary notwithstanding, in the event that any payment or acceleration of
options or shares of Company common stock by the Company to or for your benefit
(collectively, a “Payment”) would be nondeductible by the Company for federal
income tax purposes because of Section 280G of the Code, then the aggregate
present value of amounts payable or distributable to or for your benefit
pursuant to this agreement or any option or stock bonus agreement shall be
reduced to the Reduced Amount (as defined below).  Any such reduction shall be accomplished first by reducing the
number of options to acquire Company common stock and shares of Company common
stock covered by stock bonus agreements which otherwise would have immediately
vested in full, as determined in the reasonable discretion of the Board
(provided that any options and shares of Company common stock so reduced shall
continue to vest in accordance with the terms of the applicable agreements
irrespective of your continued employment or, if earlier, the date or dates on
which such options or shares can vest without being deemed nondeductible, as
determined in the reasonable discretion of

 

2

 

Mr. Paul Camara

April 28, 2003

 

the Board); and second, if necessary, by
reducing cash payments constituting part of the payments or other consideration
to which you become entitled (collectively, such cash payments, other
consideration and the aggregate present value of the immediate vesting of
options and shares of Company common stock (calculated in accordance with
Section 280G of the Code and any regulations promulgated thereunder) are
referred to as the “Severance Amount”).

 

(2)           The “Reduced Amount” shall be the
amount, expressed in present value, which maximizes the aggregate present value
of the Severance Amount without causing any Payment to be nondeductible by the
Company because of Section 280G of the Code. 
For purposes of this clause (2), present value shall be determined in
accordance with Section 280(d)(4) of the Code.

 

(3)           All determinations required to be
made under this Section 3 shall be made by the Company’s independent public
accountants (the “Accounting Firm”) which shall provide detailed supporting
calculations to the Company and you. 
Any such determination by the Accounting Firm shall be binding upon the
Company and you.

 

(4)           It is possible that as a result of
the uncertainty in the application of Section 280G of the Code at the time of
the initial determination by the Accounting Firm, a portion of the Severance
Amount will have been made by the Company which should not have been made
(“Overpayment”) or that an amount in addition to the Severance Payment which
will not have been made could have been made (“Underpayment”), in each case,
consistent with the calculations required to be made hereunder.

 

(x)            Overpayment.  In the event that the Accounting Firm, based
upon the assertion of a deficiency by the Internal Revenue Service against you
which the Accounting Firm believes has a high probability of success,
determines that an Overpayment has been made, any such Overpayment paid or
distributed by the Company to or for your benefit shall be treated for all
purposes as a loan ab initio (from the beginning) to you which you shall repay
to the Company together with interest at the applicable federal rate provided
for in Section 1274(d) of the Code.

 

(y)           Underpayment.  If precedent or other substantial authority
indicates that an Underpayment has occurred, any such Underpayment shall be
promptly paid by the Company to or for your benefit together with interest at
the applicable federal rate provided for in Section 1274(d) of the Code.

 

3

 

Mr. Paul Camara

April 28, 2003

 

4.             GENERAL.  This
agreement (i) constitutes the entire agreement between the parties with respect
to the subject matter hereof and supersedes any previous arrangements or
letters relating thereto, including but not limited to the letter dated
September 11, 2002,  (ii) may be signed
in counterparts, (iii) shall be governed by the laws of the state of New
York(other than the conflicts of laws provisions thereof) and (iv) may not
amended, terminated or waived orally. 
Please understand that while it is our hope that our relationship will
be a long one, your employment will be on an “at will” basis.  Nothing in this letter should be construed
as creating any other type of employment relationship.

 

Please sign and return an
enclosed copy of this letter to me.  If
you have any questions, or if there is anything I have overlooked, please do
not hesitate to call me.

 

	
   

  	
   

  	
  With best regards,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Sincerely,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  TMP Worldwide Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/  Andrew
  J. McKelvey

  	
   

  
	
   

  	
   

  	
   

  	
  Andrew J. McKelvey

  
	
   

  	
   

  	
   

  	
  Chairman

  
	
   

  	
   

  	
   

  
	
  Accepted and Agreed:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ Paul Camara

  	
   

  	
   

  	
   

  
	
  Paul Camara

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Dated:

  	
  April 28, 2003

  	
   

  	
   

  	
   

  
										

 

4

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