Document:

Transition Agreement

 Exhibit 10.2 
 September 24, 2007 
 David Crussell 
 1530 Rose
Lane 
 Pleasanton, CA 94566 
  

	Re:	Transition Agreement 

 Dear Dave: 
 This letter sets forth the terms of the transition agreement (the “Agreement”) between you and SumTotal Systems, Inc. (the “Company”). 
  

	1.	Separation Date. As discussed, your last day of employment with the Company shall be December 31, 2007 (the “Separation Date”). Of course, the Company will
accelerate the Separation Date in the event that you materially breach this Agreement, the Confidentiality Agreement or any Company policy. Your employment with the Company from the date of this letter through the Separation Date shall be referred
to as the “Transition Period” for the purposes of this Agreement, and will be subject to the following terms and conditions. 

  

	2.	Transition Duties. You shall continue to be employed by the Company and make yourself available to work for up to 40 hours per month (the “Transition Period”),
subject to all of the standard policies and procedures of the Company. You shall, within a reasonable period of time following any requests made of you by the Company’s Chief Executive Officer (“CEO”): (i) discharge and perform
any and all duties reasonably requested of you by the CEO or his designee; (ii) take all steps reasonably satisfactory to the CEO to ensure the orderly transition of all matters that you have handled during the course of your employment with
the Company; and (iii) provide transition briefing information to the CEO as he requests. All such requests by the CEO shall be made with reasonable notice to you in advance, such that you need not be “on call” during the Transition
Period and nothing in this Paragraph shall in any way limit your right to attend to personal matters during the Transition Period, even if attending to such personal matters renders you immediately unavailable to respond to the requests of the CEO.
During the Transition Period, you will not have authority to bind the Company or make management decisions, unless expressly authorized in writing in advance by the CEO, or his designee. 

  

	3.	Salary Continuation and General Employee Benefits. Through the Separation Date, you will continue to receive your current base salary, paid in the Company’s ordinary
payroll cycle and subject to standard deduction and withholdings. You will also continue to be eligible for the Company’s standard employment benefits pursuant to the terms, conditions and limitations of the benefit plans.

 Transition Agreement – David Crussell 
 September 24, 2007 
  

	4.	Vesting of Equity Awards. To the extent consistent with the terms of the equity awards provided to you in connection with your employment (the “Equity Awards”) and
the Company’s applicable equity incentive plans (the “Equity Plans”), your Equity Awards will continue to vest during the Transition Period in accordance with the operative agreements and the applicable Equity Plans. You and the
Company agree that, effective as of the Separation Date, your “service” to the Company (for the purposes of the Equity Awards and the applicable Equity Plans) will cease, which means that vesting of all Equity Awards shall cease as of the
Separation Date. All other terms of the Equity Awards remain subject to the terms and conditions of the operative agreements and the applicable Equity Plans. Accordingly, your right to exercise any vested shares shall be in accordance with the
applicable Equity Awards and Equity Plans. 

  

	5.	Accrued Salary and Paid Time Off. On the Separation Date, regardless of whether you sign this Agreement, you will be paid all accrued and unused paid time off earned through
that date, subject to standard payroll deductions and withholdings. You are entitled to these payments by law. You will continue to accrue paid time off during the Transition Period at the same rate you were earning such benefit prior to your
execution of this Agreement. 

  

	6.	Severance. The Company will pay you severance in the amount of $233,333, which is equivalent to eight months base salary (the “Severance Payment”). The Severance
Payment shall be made in one lump sum, on the payroll date following the effective date of the Separation Date Release. The Severance Payment will be subject to standard payroll deductions and withholdings, the satisfaction of any outstanding debts
to the Company, and your timely return of all Company Property. 

  

	7.	Executive and Management Bonus Plan. Although you will have not earned any bonus or incentive compensation under the terms of the Company’s Executive and Management
Bonus Plan (the “Bonus Plan”) through the end of December 31, 2007, and the Company is not obligated to make any payment to you under the Bonus Plan, pursuant to this Agreement, assuming you sign and allow to become effective this
Agreement and the Separate Date Release, the Company will pay you a pro-rated amount (eight-ninths for third quarter and eight-twelfths for fourth quarter) of the amount you would have normally received for the financial component payout for the
third and fourth quarters of 2007 if you had remained fully employed through December 31, 2007 and the plan payout date applicable to the third and fourth quarters. These payments shall be made on the same terms and at the same time all other
eligible employees receive the third and fourth quarter 2007 financial component payouts. You expressly acknowledge that you are not entitled to any payout of the MIT component of the Bonus Plan for fiscal year 2007. 

 Transition Agreement – David Crussell 
 September 24, 2007 
  

	8.	Retention Bonus. Provided you comply with the terms of this Agreement and the Retention Bonus Agreement, you shall receive your retention bonus of $206,250 on the first
payroll after October 19, 2007 (“Retention Bonus”). Such Retention Bonus shall be subject to the Company’s standard payroll deductions, including tax and payroll withholdings. 

  

	9.	Health Care Coverage. To the extent provided by the federal COBRA law or, if applicable, state insurance laws (collectively, “COBRA”), and by the Company’s
current group health insurance policies, you will be eligible to continue your group health insurance benefits at your own expense after the Separation Date. On or after the Separation Date, you will be provided with a separate notice more
specifically describing your rights and obligations to continuing health insurance coverage under the COBRA laws. Although the Company is not otherwise obligated to do so, if you enter into this Agreement, comply with your obligations hereunder,
and, on or timely after the Separation Date, you sign, date, return to the Company and allow to become effective the Separation Date Release, the Company agrees to reimburse your COBRA premiums (the “COBRA Reimbursement”) sufficient to
continue your group health insurance coverage at its current level (including dependent coverage, if any), for eight months through August 31, 2008, provided however that, the Company’s obligation to provide the COBRA Reimbursement
ceases immediately if you become eligible for group health insurance coverage through a new employer or if you materially breach this Agreement or the Confidentiality Agreement. You agree to immediately notify the Company’s Vice President,
Human Resources in writing if you become eligible for group health insurance coverage through a new employer at any time prior to August 31, 2008. 

  

	10.	Other Compensation or Benefits and Agreements. You acknowledge that, except as provided in this Agreement, you have not earned and will not receive any other compensation,
including without limitation salary, bonus, incentive compensation, or severance, or any benefits before or after the Separation Date, with the exception of any vested right you may have under the express terms of a written ERISA-qualified benefit
plan (e.g., 401(k) account) or any vested Equity Awards. You expressly acknowledge that your Amended and Restated Change of Control Agreement dated August 31, 2006 (“Change of Control Agreement”) is hereby terminated, effective on the
Effective Date of this Agreement. You also expressly acknowledge that the following agreements shall remain in full force and effect: (a) Retention Bonus Agreement dated October 25, 2005, (b) Employee Invention, Confidentiality,
Unfair Competition, and NonSolicitation Agreement dated May 17, 2004, and (c) Indemnification Agreement dated April 14, 2004 (“Indemnification Agreement”). 

  

	11.	 Noncompetition. From the Effective Date through August 31, 2008, you will not perform, directly or indirectly, the same or similar services for any
Competitor of the Company, and you will not engage in any business activities competitive with the Company on your own behalf (or prepare to engage in such activities). You acknowledge and agree that: your performance of any such services would
inevitably 

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 September 24, 2007 
  

	 	 
make use of the confidential or proprietary information of the Company; you have had access to competitively valuable such confidential and proprietary
information during the course of your employment for the Company (including but not limited to: information regarding the Company’s product research and development, “roadmaps,” sales and marketing plans, partnership plans, business
plans, proposed merger and acquisition activities, finances and operations, personnel); and that any breach of the provisions of this section would be material and cause irreparable harm to the Company and provide the basis for injunctive relief.
For purposes of this Agreement, “Competitor” means any company, partnership, sole proprietorship, or other entity which is, or plans or proposes to be, competitive with the Company, or any of the Company’s lines of business or planned
or proposed lines of business. If you violate this section, or Sections 14 or 15 of this Agreement, you will forfeit and not be entitled to receive any unpaid payments under the 2007 Executive and Management Bonus Plan as set forth in
Section 7, or Severance Payment as set forth in Section 6, (collectively, “Non-Compete Payments”) and be required to reimburse the Company an amount equal to the unpaid Non-Compete Payments. 

  

	12.	Expense Reimbursements. You agree that, on or before the Separation Date, you will submit your final documented expense reimbursement statement reflecting all business
expenses you incurred through the Separation Date, if any, for which you seek reimbursement. The Company will reimburse you for these expenses pursuant to its regular business practice. 

  

	13.	 Return of Company Property. Except for documents or materials that the Company authorizes you in writing to retain for purposes of performing the services
during the Transition Period (if any) and except for your Company laptop and phone, which you may keep, on the Separation Date, you shall return to the Company all Company documents (and all copies thereof) and other Company property that you have
in your possession or control, including, but not limited to, sales reports, sales and marketing information, client information, Company products, samples, equipment, files, notes, correspondence, memoranda, email, computer-recorded information,
electronic information, drawings, records, compilations of data, plans, forecasts, operational and financial information, research and development information, personnel information, product and manufacturing information, specifications, tangible
property, credit cards, entry cards, identification badges and keys; and any materials of any kind that contain or embody any proprietary or confidential information of the Company (and all reproductions thereof in whole or in part). You agree that
you will make a diligent search to locate any such documents, property and information on the Separation Date. In addition, if you have used any personally owned computer, server, or e-mail system to receive, store, review, prepare or transmit any
Company confidential or proprietary data, materials or information, then on or before the Separation Date you shall provide the Company with a computer-useable copy of such information and then permanently delete and expunge such Company
confidential or proprietary information from those systems without retaining any copy or reproduction; and you shall provide the Company access to your system as requested to verify that the necessary copying 

 Transition Agreement – David Crussell 
 September 24, 2007 
  

	 	 
and/or deletion is done. If you have any technical difficulties deleting such information, you should contact Richard Walsh at the Company, who will either
assist you in the deletion process or waive your obligation to delete the specified information. Your failure to timely comply with this paragraph will be considered a material breach of this Agreement. 

  

	14.	Proprietary Information Obligations. You hereby acknowledge and reaffirm your continuing obligations under your Employee Invention, Confidentiality, Nonsolicitation, and
Noncompetition Agreement (the “Confidentiality Agreement”), a copy of which is attached hereto as Exhibit A. 

  

	15.	Post-Employment Period Restrictions. You hereby agree that, during the Transition Period and for one (1) year after the Separation Date, you will comply with the
post-employment period restrictions (the “Post-Employment Period Restrictions”) set forth in sections 16 and 17 of this Agreement. 

  

	16.	Nonsolicitation of Business and Customers. You will not, directly or indirectly, solicit or attempt to solicit any business from any company or other entity (whether
business, government, or otherwise), on behalf of a Competitor, which, during the one year preceding the Effective Date (i) you had any direct or indirect (e.g. through a third party) contact or association with the customer, alliance, partner
or vendor, or (ii) the customer, alliance, partner or vendor was under your supervision. 

  

	17.	Nonsolicitation of Employees. You will not, directly or indirectly, induce, encourage, solicit, attempt to solicit or cause to be solicited any employee or contractor of the
Company to leave his or her employment, terminate his or her work for the Company, or refrain from providing services to the Company, or any of its subsidiaries or affiliates. 

  

	18.	Confidentiality. The provisions of this Agreement will be held in strictest confidence by you and the Company and will not be publicized or disclosed in any manner
whatsoever; provided, however, that: (a) you may disclose this Agreement in confidence to your immediate family; (b) the parties may disclose this Agreement in confidence to their respective attorneys, accountants, auditors, tax
preparers, and financial advisors; (c) the Company may disclose this Agreement as necessary to fulfill standard or legally required corporate reporting or disclosure requirements; and (d) the parties may disclose this Agreement insofar as
such disclosure may be necessary to enforce its terms or as otherwise required by law. 

  

	19.	Nondisparagement. You agree not to disparage the Company or the Company’s current and former officers, directors, employees, shareholders, parents, subsidiaries,
affiliates, and agents, in any manner likely to be harmful to them or their business, business reputation or personal reputation; and the Company (through its officers and directors) agrees not to disparage you in any manner likely to be harmful to
you or your business or personal reputation; provided that the parties may respond accurately and fully to any request for information if required by legal process. 

 Transition Agreement – David Crussell 
 September 24, 2007 
  

	20.	Cooperation. You agree to cooperate fully with the Company in connection with its actual or contemplated defense, prosecution, or investigation of any claims or demands by or
against third parties, or other matters arising from events, acts, or failures to act that occurred during the period of your employment by the Company. Such cooperation includes, without limitation, making yourself available to the Company upon
reasonable notice, without subpoena, to provide complete, truthful and accurate information in witness interviews, depositions and trial testimony. The Company will reimburse you for reasonable out-of-pocket expenses you incur in connection with any
such cooperation (excluding forgone wages, salary, or other compensation) and will make reasonable efforts to accommodate your scheduling needs. In addition, you agree to execute all documents (if any) necessary to carry out the terms of this
Agreement. 

  

	21.	No Admissions. The promises and payments in consideration of this Agreement shall not be construed to be an admission of any liability or obligation by either party to the
other party, and neither party makes any such admission. 

  

	22.	No Voluntary Adverse Action. You agree that you will not voluntarily assist any person in preparing, bringing, or pursuing any litigation, arbitration, administrative claim
or other formal proceeding against the Company, its parents, subsidiaries, affiliates, officers, directors, employees or agents, unless pursuant to subpoena or other compulsion of law. 

  

	23.	 Release of Claims. In exchange for consideration provided to you by this Agreement that you are not otherwise entitled to receive, you hereby generally and
completely release the Company and its current and former directors, officers, employees, shareholders, partners, agents, attorneys, predecessors, successors, parent and subsidiary entities, insurers, affiliates, and assigns from any and all claims,
liabilities and obligations, both known and unknown, that arise out of or are in any way related to events, acts, conduct, or omissions occurring prior to or on the date that you sign this Agreement. This general release includes, but is not limited
to: (a) all claims arising out of or in any way related to your employment with the Company, or the termination of that employment; (b) all claims related to your compensation or benefits from the Company, including salary, bonuses,
commissions, vacation pay, expense reimbursements, severance pay, fringe benefits, stock, stock options, or any other ownership interests in the Company; (c) all claims for breach of contract, wrongful termination, and breach of the implied
covenant of good faith and fair dealing (including but not limited to claims arising from or based on the Bonus Plan, and the Change of Control Agreement); (d) all tort claims, including claims for fraud, defamation, emotional distress, and
discharge in violation of public policy; and (e) all federal, state, and local statutory claims, including claims for discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights Act of
1964 (as amended), the federal Americans with Disabilities Act of 1990, the federal Age Discrimination in Employment Act (as amended) (“ADEA”), and the California Fair Employment and Housing Act (as amended). You represent that you 

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 September 24, 2007 
  

	 	 
have no lawsuits, claims or actions pending in your name, or on behalf of any other person or entity, against the Company or any other person or entity
subject to the release granted in this paragraph. Notwithstanding the foregoing, you are not hereby releasing the Company from any obligation undertaken in this Agreement; or any obligation the Company may otherwise have to indemnify you for your
acts within the course and scope of your employment with the Company, pursuant to your Indemnification Agreement. 

  

	24.	ADEA Waiver. You hereby acknowledge that you are knowingly and voluntarily waiving and releasing all rights, if any, you may have under the ADEA and that the consideration
given for the waiver and release in the preceding paragraph is in addition to anything of value to which you were already entitled. You further acknowledge that you have been advised by this writing, as required by the ADEA, that: (a) your
waiver and release do not apply to any rights or claims that may arise after the date that you sign this Agreement; (b) you should consult with an attorney prior to signing this Agreement (although you may decide voluntarily not to do so);
(c) you have twenty-one (21) days within which to consider this Agreement (although you may choose voluntarily to sign this Agreement earlier); (d) you have seven (7) days following your signing of this Agreement to revoke this
Agreement (by a written revocation received by the CEO); and (e) this Agreement will not be effective until the eighth day after this Agreement has been signed both by you and by a duly authorized officer of the Company (the “Effective
Date”). 

  

	25.	Section 1542 Waiver. In giving the release herein, which includes claims which may be unknown to you at present, you acknowledge that you have read and understand
Section 1542 of the California Civil Code, which reads as follows: 

 “A general release does not extend to claims
which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.” 
 You hereby expressly waive and relinquish all rights and benefits under that section and any law of any other jurisdiction of similar effect, including
but not limited to your release of any unknown or unsuspected claims herein. 
  

	26.	 Dispute Resolution. To aid in the rapid and economical resolution of any disputes which may arise under this Agreement, you and the Company agree that any
and all claims, disputes or controversies of any nature whatsoever arising from or regarding the interpretation, performance, negotiation, execution, enforcement or breach of this Agreement, will be resolved by confidential, final and binding
arbitration conducted before a single arbitrator with JAMS, Inc. (“JAMS”) in San Francisco, California, under JAMS’ then-applicable arbitration rules. The parties acknowledge that by agreeing to this arbitration procedure, they
waive the right to resolve any such dispute through a trial by jury, judge or administrative proceeding. You will have the right to be represented by legal counsel at any arbitration proceeding. The 

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arbitrator shall: (a) have the authority to compel adequate discovery for the resolution of the dispute and to award such relief as would otherwise be
available under applicable law in a court proceeding; and (b) issue a written statement signed by the arbitrator regarding the disposition of each claim and the relief, if any, awarded as to each claim, the reasons for the award, and the
arbitrator’s essential findings and conclusions on which the award is based. The Company shall bear the JAMS arbitration fees and administrative costs. Nothing in this Agreement shall prevent either you or the Company from obtaining injunctive
relief in court to prevent irreparable harm pending the conclusion of any such arbitration. The parties agree that the arbitrator shall award reasonable attorneys fees and costs to the prevailing party in any action brought hereunder, and the
arbitrator shall have discretion to determine the prevailing party in an arbitration where multiple claims may be at issue. 

  

	27.	General. This Agreement, including the Exhibits, constitutes the complete, final and exclusive embodiment of the entire agreement between you and the Company with regard to
the subject matter hereof. It is entered into without reliance on any promise or representation, written or oral, other than those expressly contained herein, and it supersedes any other such promises, warranties or representations, including but
not limited to the Change of Control Agreement. This Agreement may not be modified or amended except in a writing signed by both you and a duly authorized officer of the Company. This Agreement will bind the heirs, personal representatives,
successors and assigns of both you and the Company, and inure to the benefit of both you and the Company, their heirs, successors and assigns. If any provision of this Agreement is determined to be invalid or unenforceable, in whole or in part, this
determination will not affect any other provision of this Agreement and the provision in question shall be deemed modified so as to be rendered enforceable consistent with the intent of the parties insofar as possible under applicable law. This
Agreement will be governed by the laws of the State of California without regard to conflicts of law principles. Any ambiguity in this Agreement shall not be construed against either party as the drafter. Any waiver of a breach of this Agreement, or
rights hereunder, shall be in writing in order to be effective and shall not be deemed to be a waiver of any successive breach or rights hereunder. This Agreement may be executed in counterparts which shall be deemed to be part of one original, and
facsimile signatures shall be equivalent to original signatures. 

  

	28.	 Compliance with Section 409A of the Internal Revenue Code of 1986, as amended. This Agreement is intended to comply with Section 409A of the Code
(or any regulations or rulings thereunder), and shall be construed and interpreted in accordance with such intent. Notwithstanding anything to the contrary in this Agreement, the Company shall have the authority and the obligation to delay the
payment of any amounts or the provision of any benefits under this Agreement to the extent it deems necessary or appropriate to comply with Section 409A(a)(2)(B)(i) of the Code (relating to payments made to certain “key employees” of
certain publicly-traded companies). In such event, the payment of amounts or the provision of any benefits under this Agreement to which you are entitled will be delayed until the first 

 Transition Agreement – David Crussell 
  

	 	 
payroll immediately following the expiration date of the six month “waiting” period required by Section 409A. Any provision of this Agreement
that would cause the payment of any benefit to fail to satisfy Section 409A of the Code shall have no force and effect until amended to comply with Code Section 409A (which amendment may be retroactive to the extent permitted by the Code
or any regulations or rulings thereunder). 

 If this Agreement is acceptable to you, please sign below and return the original to Erika
Rottenberg within twenty-one (21) days after your receipt of this Agreement. The offer contained in this Agreement will automatically expire if the Company does not receive the fully executed Agreement from you by that date. Do not sign the
Separation Date Release attached as Exhibit B until the Separation Date. 
 This Agreement shall be subject to the approval of SumTotal’s Board of
Directors and shall not be a binding obligation on the Company until such approval is obtained, if it is obtained. 
 The Company looks forward to continuing
to work with you during the Transition Period and wishes you the best in your future endeavors. 
  

			
	Sincerely,
	
	SUMTOTAL SYSTEMS, INC.
		
	By:	 	/s/ Erika Rottenberg 9/28/07
	
	UNDERSTOOD AND AGREED:
	
	/s/ David Crussell
	David Crussell
	
	9/24/07
	Date

 Enclosures: 
  

					
	Exhibit A	  	–	  	Employee Invention, Confidentiality, Nonsolicitation, and Noncompetition Agreement
			
	Exhibit B	  	–	  	Separation Date ReleaseAmended and Restated Form of Officer Employment Agreement

 Exhibit 10.0 
 BRIGGS & STRATTON CORPORATION 
 Form 10-Q for Quarterly Period Ended September 30, 2007 

AMENDED AND RESTATED FORM OF OFFICER 
 EMPLOYMENT AGREEMENT 
 Effective January 1, 2008 

 EMPLOYMENT AGREEMENT 
 THIS EMPLOYMENT AGREEMENT (this “Agreement”) is made as of the      day
of                    , 20    , by and between
                                         (the
“Employee”) and BRIGGS & STRATTON CORPORATION, a Wisconsin corporation with its corporate office in Wauwatosa, Wisconsin (the “Company”). 
 WHEREAS, the Company desires to employ Employee in the business of manufacturing, selling and servicing gasoline powered engines or in such other businesses as the Company may from time to time engage (the
“Business”), and Employee desires to be employed by the Company for such purpose; and 
 WHEREAS, Employee shall have access to
confidential financial information, trade secrets and other confidential and proprietary information of the Company; 
 NOW, THEREFORE, the
parties agree as follows: 
 1. EMPLOYMENT 
 1.1 Duties. The Company shall employ Employee upon the terms and conditions set forth in this Agreement. Employee shall have such duties at such work locations as may be assigned to Employee from time to time by the Company.

 1.2 Best Efforts. Employee agrees to devote his best efforts and his full time and attention to the performance of his duties under
this Agreement, and to perform such duties in an efficient, trustworthy and businesslike manner. 
 1.3 Duty to Act in the Best Interest
of the Company. Employee shall not act in any manner, directly or indirectly, which may damage the business of the Company or which would adversely affect the goodwill, reputation or business relations of the Company with its customers, the
public generally or with any of its other employees. 
 2. TERM OF EMPLOYMENT 
 2.1 Term. The term of Employee’s employment with the Company under this Agreement shall commence as of
                         , 20     (the “Effective Date”), and shall expire
January 1, 20     (“Expiration Date”). In the event that neither the Company nor the Employee shall give written notice to the other party by December 1 of each year that this Agreement shall not be
further extended, the Expiration Date shall be automatically extended by one additional year. If such notice is given, this Agreement shall expire on the last determined Expiration Date. Notwithstanding the foregoing, this Agreement and
Employee’s employment may be terminated at any time as provided for in Sections 2.2, 2.3 or 2.4 of this Agreement. 
  

 2 

 2.2 Termination for Cause. The Company shall have the right to terminate this Agreement and
Employee’s employment for the following causes (each a “Termination for Cause”): 
  

	 	(a)	Conviction of Employee for, or entry of a plea of guilty or nolo contendere by Employee with respect to, any felony or any crime involving an act of moral turpitude;

  

	 	(b)	Engaging in any act involving fraud or theft; 

  

	 	(c)	Conduct which is detrimental to the reputation, goodwill or business operations of the Company; 

  

	 	(d)	Neglect by Employee of his duties or breach by Employee of his duties or intentional misconduct by Employee in discharging such duties; 

  

	 	(e)	Employee’s continued absence from his duties without the consent of the Employee’s supervisor after receipt of notification from the Company, other than absence due to
bona fide illness or disability as defined herein; 

  

	 	(f)	Employee’s failure or refusal to comply with the directions of his supervisor or with the policies, standards and regulations of the Company, provided that such directions,
policies, standards or regulations do not require Employee (i) to take any action which is illegal, immoral or unethical or (ii) to fail to take any action required by applicable law, regulations or licensing standards; or

  

	 	(g)	Employee’s breach of the restrictive covenants set forth in Section 5 of this Agreement; 

 provided, however, that termination of Employee for an act or omission described in subparagraphs (c) through (g) above shall not constitute a valid Termination for Cause unless Employee shall have received
written notice on behalf of the Board of Directors of the Company by its Chairman or designee stating the nature of the conduct forming the basis for termination and affording Employee 10 days to correct the act or omission described. Unless
Employee cures such act or omission to the satisfaction of the Company, such Termination for Cause shall be effective immediately upon the expiration of the 10 day period. Upon the effectiveness of any Termination for Cause by the Company, payment
of all compensation to Employee under this Agreement shall cease immediately (except for any payment of compensation accrued but unpaid through the date of such Termination for Cause). 
 2.3 Termination by the Company Without Cause. 
 (a) The Company shall have the right to terminate this Agreement and Employee’s employment without cause upon 10 days’ written notice to Employee. If the Company terminates this Agreement and Employee’s employment without
cause pursuant to this Section 2.3, Employee shall receive his Base Compensation, as that term is defined in Section 3.1 of this Agreement, for the remainder of the then current term of this 

  

 3 

 
Agreement, and shall be entitled to continue pre-existing coverage for himself and any dependents under any applicable medical plans described in
Section 3.4 of this Agreement for the remainder of the then current term of this Agreement as long as the Employee continues to make the same monthly payments and copayments which would have been applicable if the Employee’s employment had
not been terminated. Upon such termination, Employee shall not receive any further compensation pursuant to Sections 3.2, 3.3 or the non-medical benefits described in Section 3.4 of this Agreement except as required by the terms of such benefit
plans. In the event of termination without cause, Employee acknowledges that the Company shall have no liability to the Employee whatsoever other than its obligation to pay his Base Compensation and to provide continuation of coverage under any
applicable medical plans for the remainder of the then current term of this Agreement, and subsequently to provide the Employee with medical benefits under the Consolidated Omnibus Budget Reconciliation Act of 1985 as amended (“COBRA”) and
other benefits to which the Employee may be entitled under the terms of any benefit plan or arrangement in accordance with the terms thereof notwithstanding termination of his employment. 
 (b) Notwithstanding paragraph (a) above, Section 2.4 below or any other provision of this Agreement to the contrary: 
 (i) No payments of Base Compensation shall be made to the Employee with respect to the period beginning with his date of termination of employment until
the first day of the seventh month which begins after the date of termination of employment or, if earlier, the first day of the month following the Employee’s death. The payments which would otherwise have been made for the period from the
date of termination of employment until the date benefits commence under the preceding sentence had this paragraph (b)(1) not existed, shall be accumulated and paid in a lump sum on the first day of the seventh month following termination of
employment or, if earlier, the first day of the month following the Employee’s date of death. The payments (other than the payments described in the preceding sentence) which commence on the first day of the seventh month following the
Employee’s termination shall be in the same amount as if payments had started on the date payments would have commenced under paragraph (a) above if this paragraph (b)(1) did not exist. 
 (ii) Employee shall pay the full cost of coverage under the applicable medical plans described in paragraph(a) above (including both the normal Employee
share and the Company share) during the first six months after the date of the Employee’s termination of employment. Employee shall then be reimbursed for the cost of such coverage on the first day of the seventh month following the
Employee’s termination of employment. Notwithstanding the preceding sentence, however, if the provision of medical benefits coverage pursuant to paragraph (a) above would be discriminatory within the meaning of Section 105(h) of the
Internal Revenue Code, then to the extent necessary to prevent such discrimination, the Employee shall pay the full cost of such coverage (including both the normal Employee and Company share) and shall not be reimbursed by the Company for doing so.

  

 4 

 (c) In order to facilitate compliance with Section 409(A) of the Internal Revenue Code, the Company
and the Employee shall neither accelerate nor defer or otherwise change the time at which any payment due under this Section 2.3 is to be made and the Employee shall not be considered to have had a termination of employment until the Employee
is considered to have a had a separation from service within the meaning of Code Section 409A. 
 2.4 Termination Due to Disability
or Death. If Employee is unable to perform his duties under this Agreement by reason of physical or mental disability, this Agreement shall terminate, and, upon such termination, Employee shall continue to receive the compensation described in
Section 3 of this Agreement, reduced by any disability payment to which Employee may be entitled in lieu of such compensation, for a period of 6 months following termination. At the expiration of the 6 month period, payment of all compensation
to Employee under this Agreement shall cease immediately (except for any payment of compensation accrued but unpaid through that date, COBRA benefits and other benefits to which the Employee may be entitled notwithstanding termination of his
employment). The term “disability” as used herein shall mean a condition which prohibits Employee from performing his duties substantially in the manner he is capable of performing them on the date of this Agreement, which cannot be
removed by reasonable accommodations on the part of the Company, for 60 days or more during any one year period. 
 If Employee should die
during the term of this Agreement, this Agreement shall terminate and all payments to Employee under this Agreement shall cease immediately (except for any such payments accrued but unpaid through the date of death). 
 2.5 COBRA Coverage. Any period of continued post-employment medical plan coverage provided in accordance with this Agreement shall count against
the minimum period of coverage required by the medical continuation provisions of COBRA and any other applicable legislation. 
 3. COMPENSATION

 3.1 Base Compensation. Subject to Sections 2 and 5.5 of this Agreement, during the term of this Agreement the Company shall pay
to Employee an annual salary (“Base Compensation”), which salary shall be reviewed annually by the Compensation Committee of the Board of Directors. Such Base Compensation shall in no event be lower than the salary of the previous year.
Employee acknowledges that $2,000 of each year’s Base Compensation is consideration for the covenant made by Employee in Section 5.3 of this Agreement against post-employment competition, and that the amount of such consideration is
reasonable and adequate. 
  

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 3.2 Incentive Compensation. Subject to Sections 2 and 5.5 of this Agreement, in addition to the
Base Compensation referred to in Section 3.1 of this Agreement, Employee shall be eligible to participate in any incentive pay plan adopted by the Board of Directors for a group of employees that includes executive officers. 
 3.3 Reimbursement of Business Expenses. During the term of this Agreement, the Company shall reimburse Employee for all ordinary and necessary
business expenses incurred by him in connection with the Business, upon submission by Employee to the Company of vouchers itemizing such expenses in a form satisfactory to the Company, properly identifying the nature and business purpose of any such
expenditure. 
 3.4 Benefits. During the term of this Agreement, Employee shall be entitled to participate in such insurance, medical
and retirement plans and to be provided such other fringe benefits as have been accorded other similarly-situated employees of the Company, as determined from time to time by the Company. 
 4. PROPERTY OF THE COMPANY/ASSIGNMENT 
 Employee
agrees that the Business and all businesses developed by him relating to the Business, including without limitation software, contracts, fees, commissions, customer lists and any other incident of any business developed or sought by the Company, or
earned or carried on by Employee for the Company, are and shall be the exclusive property of the Company for its sole use. 
 Employee hereby
grants and assigns to the Company (without additional compensation) his entire right, title and interest under applicable laws in and to all software products and modifications thereto, inventions, improvements, drawings, designs, prototypes,
patents, patent applications, trade secrets, confidential information, cost information, marketing plans, new product plans, proposed product improvements, research information, customer lists and customer contacts, all other technical and research
data, and copyrightable material (including derivative works) made, conceived, developed or acquired by him solely or jointly with others during the period of his employment by the Company, but only to the extent the foregoing pertains to the
Business. During the term of his employment with the Company and for two years after the termination of his employment with the Company for any reason, Employee shall execute all documents as requested by Company to accomplish such assignment of
rights, and shall otherwise cooperate with the Company and its attorneys in the protection and enforcement of the Company’s intellectual property rights, at the expense of Company. 
  

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 5. COVENANTS OF NON-DISCLOSURE, NON-SOLICITATION AND NON-COMPETITION 
 5.1 Non-Disclosure. During the term of his employment with the Company and for two years after the termination of his employment with the Company
for any reason, Employee shall not, and Employee shall use his best efforts (which best efforts shall include, without limitation, notifying the Board of Directors of the Company of any suspected breach of this Section 5.1) to ensure that any
persons or entities over which Employee has control do not, directly or indirectly, use any Company proprietary or other confidential information for any purpose not associated with Company activities, or disseminate or disclose any such information
to any person or entity not affiliated with the Company. Such Company proprietary or other confidential information includes without limitation sales methods, prospecting methods, customer lists and customer contacts, computer technology, programs
and data, whether on-line or off-loaded on disk format, inventions, improvements, trade secrets, drawings, designs, cost information, prototypes, new product plans, proposed product improvements, methods of presentation and any other plans, programs
and materials used in managing, marketing or furthering Company business. Upon termination of Employee’s employment relationship with the Company, Employee shall return to the Company all documents, records, notebooks, manuals, computer disks
and similar repositories of or containing Company proprietary or other confidential information, including all copies thereof, then in Employee’s possession or control, whether prepared by Employee or otherwise. Employee shall undertake all
reasonably necessary and appropriate steps to ensure that the confidentiality of Company proprietary or other confidential information shall be maintained. 
 5.2 Non-Solicitation. For a period of two years after the termination of Employee’s employment with the Company for any reason, Employee shall not (i) solicit, service or in any way or to any degree
handle any business similar to that performed by Employee for the Company, for any person, firm or entity which is a customer or actively marketed prospect of the Company or which becomes a customer or actively marketed prospect of the Company
during the term of Employee’s employment, whether or not said customer or prospect shall have been handled, serviced or produced by Employee, (ii) divert or attempt to divert any such customer or prospect, or (iii) publicly announce
or advertise his former employment by or connections with the Company. 
 For a period of two years after the termination of Employee’s
employment with the Company for any reason, Employee shall not solicit, take away, hire, employ or endeavor to employ any of the employees of the Company. 
 5.3 Non-Competition. Employee acknowledges that the Business is unique and is conducted throughout the United States and abroad, and, therefore, agrees that, during the term of his employment with the Company
and for two years after the earlier of the date of termination of his employment with the Company for any reason or the date when the Employee or the Company provides written notice to the other party under Section 2.1 

  

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that this Agreement will not be extended, he shall not, without the prior written consent of the Company, directly or indirectly, own, develop, manage,
operate, join, control or participate in the ownership, management, operation or control of, or become an employee or independent contractor of, or consultant to, any business which competes with the Business as conducted by the Company, or any of
its subsidiary companies, or any of their respective successors, by selling such products, or providing such services as the Company, or any of its subsidiary companies, or any of their respective successors, sells or provides during the term of
such employment or at the time of such termination. This restriction will apply worldwide. The foregoing notwithstanding, nothing herein shall be construed so as to prohibit or restrict Employee from owning less than five percent (5%) of the
outstanding common stock of any corporation, the stock of which is publicly traded on a national securities exchange or in the over-the-counter market, that competes with the Company. Employee further agrees that, during his employment with the
Company, he shall use his best efforts to preserve the Business and the organization of the Company, to keep available to the Company the services of its employees, and to preserve for the Company its and his favorable business relationships with
suppliers, customers and others. 
 5.4 Applicability. Subject to Sections 2.2 and 2.4 of this Agreement, the provisions of Sections
5.1, 5.2 and 5.3 of this Agreement shall apply to all terminations of Employee’s employment with the Company, regardless of the cause or circumstances thereof and whether such termination was voluntary or involuntary, for cause or without
cause. Further, Employee’s covenants of non-disclosure, non-competition, and non-solicitation, along with the Company’s remedies for the breach or threatened breach of those covenants, shall remain in effect following the termination of
this Agreement and Employee’s employment, regardless of the cause or circumstances thereof and whether such termination was voluntary or involuntary, for cause or without cause. 
 5.5 Remedies. In view of the services which Employee will perform for the Company, which are special, unique, extraordinary and intellectual in
character, which place him in a position of confidence and trust with the customers and employees of the Company, and which provide him with access to confidential financial information, trade secrets, “know-how” and other confidential and
proprietary information of the Company, in view of the geographic scope and nature of the business in which the Company is engaged, and recognizing the value of this Agreement to him, Employee expressly acknowledges that the restrictive covenants
set forth in this Agreement, including without limitation the geographic scope of such covenants, are necessary in order to protect and maintain the proprietary interests and other legitimate business interests of the Company, and that the
enforcement of such restrictive covenants shall not prevent him from earning a livelihood. Employee also acknowledges that the scope of the operations of the Company are such that it is reasonable that the restrictions set forth in this Agreement
are not more limited as to geographic area than is set forth herein. Employee further acknowledges that the remedy at law for any breach or threatened breach of this Agreement will be inadequate and, accordingly, that the Company, in addition to all
other available remedies (including, without limitation, seeking such damages as it has sustained by reason of such breach), shall be entitled to injunctive or any other appropriate form of 

  

 8 

 
equitable relief. Notwithstanding anything in this Agreement to the contrary, in the event Employee breaches any of the covenants of non-disclosure,
non-solicitation or non-competition set forth in Sections 5.1, 5.2 and 5.3 of this Agreement, he shall not receive any further payments from the Company pursuant to this Agreement. 
 6. INDEMNIFICATION 
 The Company shall indemnify and hold harmless Employee from and against any claim
of liability or loss (including costs and reasonable attorneys’ fees) arising as a result of Employee’s proper performance of his obligations under this Agreement in accordance with the provisions for indemnification of officers of the
Company set forth in the Bylaws of the Company. 
 7. MISCELLANEOUS PROVISIONS 
 7.1 Assignment and Successors. The Company may assign its rights and obligations under this Agreement to any corporation or other entity which
controls, is controlled by, or is under common control with, the Company, without Employee’s consent. Further, if the Company sells all or substantially all of the assets of the Business, the rights and obligations of the Company under this
Agreement may be assigned without Employee’s consent. In all other circumstances, the rights and obligations of the Company under this Agreement may be assigned with Employee’s consent (which shall not be unreasonably withheld) and shall
inure to the benefit of and be binding upon the successors and assigns of the Company. Employee’s obligation to provide services hereunder may not be assigned to or be assumed by any other person or entity. 
 7.2 Notices. All notices, requests, demands, or other communications under this Agreement shall be in writing and shall only be deemed to be duly
given if to the Company c/o Corporate Secretary, and to Employee at his address as shown in the Company’s records. 
 7.3
Severability. If any provision or portion of this Agreement shall be or become illegal, invalid or unenforceable in whole or in part for any reason, such provision shall be ineffective only to the extent of such illegality, invalidity or
unenforceability, without invalidating the remainder of such provision or the remaining provisions of this Agreement. If any court of competent jurisdiction should deem any covenant herein to be invalid, illegal or unenforceable because its scope is
considered excessive, such covenant shall be modified so that the scope of the covenant is reduced only to the minimum extent necessary to render the modified covenant valid, legal and enforceable. 
 7.4 Integration, Amendment and Waiver. This Agreement constitutes the entire agreement between the Company and the Employee, superseding all prior
similar arrangements and agreements, and may be modified, amended or waived only by a written instrument signed by both of them. This Agreement does not supersede the separate employment agreement between the Employee and the Company relating to a
change in control of the Company. 
  

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 7.5 Governing Law. This Agreement shall be construed in accordance with and governed for all
purposes by the laws of the State of Wisconsin applicable to contracts executed and wholly performed within such state. 
 7.6
Interpretation. The headings contained in this Agreement are for reference purposes only, and shall not affect in any way the meaning or interpretation of this Agreement. The language in all parts of this Agreement shall in all cases be
construed according to its fair meaning, and not strictly for or against any party. In this Agreement, unless the context otherwise requires, the masculine, feminine and neuter genders and the singular and the plural include one another. 

7.7 Non-Wavier of Rights and Breaches. No failure or delay of any party in the exercise of any right given to such party hereunder shall
constitute a waiver unless the time specified for the exercise of such right has expired, nor shall any single or partial exercise of any right preclude other or further exercise thereof or of any other right. The waiver by a party of any default of
any other party shall not be deemed to be a waiver of any subsequent default or other default by such party. 
 7.8 Attorneys’
Fees. In the event that the Employee or the Company is required to bring an arbitration proceeding or any legal action to enforce the terms of this Agreement, the prevailing party shall, in addition to any other remedies available to it, be
entitled to recover its reasonable attorneys’ fees and costs from the losing party. 
 7.9 Dispute Resolution. 
 (a) (i) Any dispute, controversy or claim arising out of or relating to this Agreement or any term or provision of this Agreement, including without
limitation any claims of breach, termination or invalidity thereof, (ii) any matter subject to arbitration under any provision of this Agreement, and (iii) any other matter which the parties agree to submit to arbitration shall be settled
by arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, and judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof. Such arbitration proceedings
shall be held in Milwaukee, Wisconsin. 
 (b) Notwithstanding the foregoing, the Company at all times shall have the right to bring an action
to enforce the covenants and seek the remedies set forth in Section 5 of this Agreement through the courts as it deems necessary or desirable in order to protect its proprietary and other confidential information or to prevent the occurrence of
any event which the Company believes will cause it to suffer immediate and irreparable harm or damage. The parties agree that any such action may be brought in a state or federal court located within Milwaukee, Wisconsin. The parties waive any and
all objections to jurisdiction or venue. The parties further agree that service of process may be made by registered mail to the addresses referred to in Section 7.2 of this Agreement, and that such service shall be deemed effective service of
process. 
  

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 7.10 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed
an original and all of which taken together shall constitute one and the same instrument. 
 IN WITNESS WHEREOF, the Company and Employee
have caused this Employment Agreement to be duly executed as of the date first written above. 
  

					
	EMPLOYEE	  		  	BRIGGS & STRATTON CORPORATION
			
	  
	  		  	  

	(Employee)	  		  	John S. Shiely
		  		  	Chairman, President and Chief Executive Officer

  

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