Document:

Prepared by MERRILL CORPORATION

Exhibit 10.1

AMENDMENT NO. 1 TO EMPLOYMENT AGREEMENT

This Amendment No. 1 to Employment Agreement dated

as of September 7, 2001, (this “Amendment”) is entered into with reference to

the Employment Agreement dated as of November 8, 2000, between Hard Rock Hotel,

Inc., a Nevada corporation (the “Company”), and James D. Bowen, an individual

(“Executive”).  The Company and

Executive hereby agree as follows:

1.     Definitions.  Capitalized terms used herein are used with

the meanings set forth for those terms in the Employment Agreement.

2.     Termination for No Cause.  Section 7.5 of the Employment Agreement is

hereby amended to read in full as follows:

In addition to the right to terminate this Agreement

pursuant to Sections 7.1, 7.2 and 7.3 of this Agreement, the Company shall have

the right to terminate this Agreement and Executive’s employment hereunder for

any other reason or for no reason.  In

the event that the Company terminates this Agreement and Executive’s employment

hereunder pursuant to this Section 7.5, the Company shall give ten (10) days

prior written notice to Executive and pay a lump sum termination fee to

Executive in an amount equal to the greater of (i) One-Hundred and Forty-Five

Thousand Dollars ($145,000.00) or (ii) twelve (12) months of the Executive’s

base salary rate immediately prior to such termination which would otherwise be

due Executive pursuant to this Agreement but for such termination and shall

also be provided medical, hospitalization, dental, vision, pharmacy and term

group life insurances, at no cost to Executive for a term of twelve (12) months

after any termination.  In addition,

Executive shall be entitled to benefits noted in this Section 7.5 in the event

of a Change in Control of the Company if within thirty (30) days after the Change

in Control the Executive tenders his resignation in conformity with Article 7.3

of the Agreement.  A Change in Control

of the Company shall mean a change in control of a nature that would be

required to be reported in response to Item 403(c) of Regulation S-K; provided

that, without limitation, such a change in control shall not be deemed to have

occurred if Peter Morton is the beneficial owner as defined in Rule 13d-3 under

the Exchange Act, directly or indirectly, of securities of the Company representing

51% or more of the combined voting power of the Company’s then outstanding

securities.

3.     Confirmation.  In all other respects, the terms of the Employment Agreement are

hereby confirmed.

IN WITNESS WHEREOF, the

parties hereto have caused this Amendment to be duly executed as of the date

hereinabove set forth.

 

	

  COMPANY:

  	

   

  	

  EXECUTIVE:

  
	

   

  	

   

  	

   

  
	

  Hard Rock Hotel, Inc., a Nevada corporation

  	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  
	

  By

  	

  /s/ Peter A. Morton

  	

   

  	

  /s/ James D. Bowen

  
	

   

  	

  Peter A. Morton, President

  	

   

  	

  James D. BowenPrepared by MERRILL CORPORATION

Ex-10.55

Investment

Banking Proposal by and between

the

Company and Standard Investment Chartered, Inc

 

EXHIBIT

10.55

 

STANDARD

INVESTMENT CHARTERED, INC.

2512 Chambers Road, Suite 106

Tustin,

California 92780-6950

714-573-4095/4015

fax

www.standardinvestment.com

 

 

July

23, 2001

 

Jessica

L. Stevens

Chief

Executive Officer

Telegen

Corporation

1840

Gateway Drive

Suite

200

San

Mateo, CA 94404

 

Re:

Telegen Investment Banking Proposal

 

Dear

Ms. Stevens:

 

Standard Investment Chartered, Inc. (“Standard”) is

pleased to provide you with this proposal containing the basic terms under

which Standard will provide consulting, investment banking and brokerage

services to Telegen Corporation (“Telegen” or the “Company”) and its

subsidiaries on a non-exclusive basis. 

Standard’s primary mission will be to (i) facilitate a private placement

investment in Telegen (an “Investment Transaction”) by

another corporation, individual, trust, limited liability company, partnership,

or other entity (an “Investor”),and (ii)

direct the Company’s investor relation efforts on the Over-the-Counter

Electronic Bulletin Board.  If the

appropriate circumstances arise, however, Standard may also facilitate a Sale

Transaction (as defined below) at the direction of Telegen’s management and

board of directors.  This letter

will set forth the terms of the engagement agreed to between us.

 

1.     Engagement; Scope of Services.  Telegen hereby engages Standard on a

non-exclusive basis to provide investment banking and brokerage services in

connection with a possible Investment Transaction from the date hereof until

the expiration or earlier termination of this Agreement (the “Engagement

Period”).  During the Engagement Period,

Standard will use reasonable efforts to (i) assist in valuing Telegen, (ii)

structure and price any debt or equity securities to be issued by Telegen,

(iii) develop a general marketing and negotiating strategy for an Investment

Transaction, (iv) identify and contact potential suitable Investors, (v)

introduce Telegen to suitable Investors who may be interested in participating

in an Investment Transaction, (vi) perform financial and strategic analyses as

reasonably necessary to facilitate any potential or actual Investment

Transaction, (vii) assist Telegen in negotiating an Investment Transaction and

(viii) offer such other services as may be agreed upon by Standard and Telegen.

 

In addition to the foregoing services, during the Engagement

Period, Standard shall provide

a consulting team headed by Mr. David Palmore to evaluate Telegen’s business

and marketing plans as well as consult with Telegen’s management on the best

utilization of corporate assets and intellectual property.  Standard will use its best efforts to

provide Telegen with Mr. Palmore’s and his consulting team’s analysis and

recommendations within 20 business days from the date of this Agreement, but no

later than August 28, 2001.  The parties

hereto hereby acknowledge and agree that (i) Telegen is not engaging the

services of Mr. Palmore or his consulting team in this Agreement; (ii) Mr.

Palmore and his consulting team have been engaged separately by Standard to

assist Standard in providing the services to be rendered to Telegen hereunder;

(iii) as between the parties hereto, Standard is solely responsible for any

compensation to Mr. Palmore or his consulting team for the services to be

rendered to Telegen hereunder; and (iv) in the event Telegen desires to engage

Mr. Palmore and/or his consulting team to provide additional services outside

the scope of the services set forth herein, Telegen will engage Mr. Palmore

and/or his consulting team directly, in a separate agreement, and will be

solely responsible for any compensation to Mr. Palmore or his consulting team

for such additional services.

 

2.     Sale

Transaction.  In the event Telegen’s

management and board of directors wish to pursue a Sale Transaction, (in

addition to the services set forth in Section 1) Standard shall provide counsel

to and assist Telegen (i) during negotiations, (ii) in evaluating, formulating,

and valuing offers and proposals, as well as potential and alternative Sale

Transaction structures, and (iii) during preliminary due diligence.  A Sale Transaction is defined as any

transaction or series of related transactions resulting in:  (1) the sale or other disposition to any

Investor of all or substantially all of Telegen’s assets; (2) a merger,

consolidation or other combination of Telegen with an Investor; or (3) the sale

of more than fifty percent (50%) of Telegen’s equity securities (as measure on

a fully-diluted basis) to an Investor.

 

3.     Information.  In connection with Standard’s activities

hereunder, Telegen will furnish Standard and its counsel upon request with all

relevant information regarding the business and financial condition of Telegen

(all such information so furnished being the “Information”).  Standard agrees to keep the Information

confidential (including the information set forth in this agreement), and

Standard will not make use thereof, except in connection with services

hereunder for Telegen, unless (i) disclosure is required by law or requested by

any government, regulatory or self-regulatory agency or body; (ii) any

Information is or becomes generally available to the public; or (iii) any

Information was or becomes available to Standard on a non-confidential basis

from a source other than Telegen or any of its representatives. Standard

acknowledges that the remedies at law for breach of its obligations in this

Section may be inadequate, and that Telegen shall be entitled to injunctive relief

for any breach of this Section.  Nothing

contained herein shall be construed as limiting Telegen’s right to any other

remedies at law, including the recovery of damages for breach of this

Agreement.

 

4.     Compensation.  As compensation for services rendered and to

be rendered hereunder by Standard or on its behalf, Telegen agrees to pay to

Standard as follows:

 

a)     Telegen shall pay Standard a retainer fee

in the amount of Thirty Thousand Dollars ($30,000) to begin the aforementioned

assignment.  Standard will use this

retainer fee to pay the consulting costs associated with Mr. Palmore and his

consulting team.

 

b)    Telegen shall compensate Standard for any

Investment Transaction based on any capital (debt or equity) raised through

Standard’s Investor clients, contacts, or institutional introductions.  Standard will receive a cash commission of

10% of the first million dollars raised, 8% of the second million dollars, 7%

of the third million dollars, 6% of the fourth million dollars, 5% of the fifth

million dollars, 4% of the sixth million dollars, and 3% of any remaining

capital raised on Telegen’s behalf through Standard’s Investor clients,

contacts, or institutional introductions. 

In addition, Telegen will grant to Standard a warrant to purchase up to

1,000,000 shares of Telegen’s common stock at a per share exercise price equal

to (i) the per share purchase price at which Telegen’s shares of common stock

are sold to Investors by Standard, and/or (ii) the per share conversion price

of any convertible debt placed with Investors by Standard.  Any such warrant shall have a term of three

years and shall be earned at the rate of 10,000 shares of common stock for

every 100,000 shares (or debt convertible into 100,000 shares) of common stock

purchased by Investors through Standard and pro rata for any increment of less

than 100,000 shares.  Standard does not

envision arranging non-convertible debt for Telegen at this time.  The parties hereto hereby acknowledge and

agree that all compensation to be paid to Standard under this Section 4(b)

shall be paid by directly by Telegen directly through its managing placement

agent (Pacific West Securities, Inc.), pursuant to that certain Placement Agent

Agreement, dated July 5, 2001.

 

c)     In the event Standard successfully facilitates

a Sale Transaction, Telegen shall pay Standard a cash fee equal to five percent

(5%) of the Sale Transaction Value (as defined below) (above any commissions or

fees paid on any equity or debt previously issued to an Investor(s) through

Standard).  For purposes of this

Agreement, “Sale Transaction Value” shall mean the value of all cash,

securities or other property received by Telegen or any affiliate of Telegen

directly or indirectly, in connection with a Sale Transaction.  The value of any such securities (other than

a purchase money note) or other property shall be determined as follows: (i)

the value of securities that are freely tradeable in an established public

market will be determined consistent with the valuation thereof under the terms

of such transaction or, in the absence of such a valuation, on the basis of the

average of the last market closing prices for the ten trading days ending on

the third business day prior to receipt thereof; and (ii) the value of

securities that are not freely tradeable or have no established public market,

or property other than securities, shall be the fair market value thereof as

mutually agreed upon by Standard and Telegen or, if such parties cannot agree,

by a third party mutually agreed upon by such parties.  The value of any purchase money notes

received shall be deemed to be the face amount of any such note.  To the extent any such consideration is

contingent upon the future performance of Telegen or any of its business or

assets, Telegen and Standard will negotiate in good faith to agree upon the

fees to be paid to Standard in consideration of such contingent

consideration.  If Standard and Telegen

cannot agree on such fee(s), the fee(s) payable to Standard on that portion of

the Sale Transaction Value shall be paid on amounts actually received by

Telegen, its affiliates or the selling shareholders and shall be payable as

such amounts are received.

 

5.     Expenses.  Telegen shall from time to time promptly upon request pay all

reasonable costs and expenses incident to the execution and performance of this

engagement, including but not limited to, (i) out-of-pocket expenses

related to pre-approved travel, lodging and meals, (ii) reasonable fees

and expenses of any expert, accounting and/or legal services employed on

Telegen’s behalf, which have been pre-approved by Telegen, and (iii) all

costs incurred in connection with the preparation of any financing or closing

documents, which have been pre-approved by Telegen.

 

6.     Right to Reject Transactions.  Telegen has the right to reject any offers

that Telegen may receive in connection with this engagement without any

compensation being owed to Standard.  It

is understood by the parties that there is no commitment or assurance on the

part of Telegen that an Investment Transaction or Sale Transaction will be

consummated and that Standard has no power or authority to bind Telegen in any

manner whatsoever.

 

7.     Best Efforts.  As in any capital markets transaction, this

engagement is on a “best efforts” basis. 

There can be no assurance that Standard will be able to raise the amount

of capital desired by Telegen. 

Nevertheless, it is the opinion of the principals of Standard that a

significant amount of capital can be raised for Telegen from investors who have

done business with Standard.

 

8.     Term;

Termination.  This

Agreement shall have a term of one (1) year from the date of its mutual

execution; provided, however, that it may be terminated at any

time by either party upon thirty (30)-days’ written notice.  Regardless of the date of termination,

Standard shall be entitled to the fees set forth in Section 4 herein if an

Investment Transaction or Sale Transaction is consummated within two (2) years

of termination with any Investor (or any affiliate of such Investor) which, during

the Engagement Period (i) was identified in writing to Telegen (ii) was the

subject of any assistance or advice to Telegen by Standard, or (iii) had

engaged in any Investment Transaction or Sale Transaction discussion with or

proposal to Telegen.

 

9.     Notices.  All notices provided hereunder shall be given in writing and

either delivered personally or by overnight courier service or sent by

certified mail, return receipt requested, if to Standard, to Standard

Investment Chartered, Inc., 2512 Chambers Road, Suite 106 Tustin,

California  92780-6950, Attention: John

Norberg; and if to Telegen, to Telegen Corporation, 1840 Gateway Drive, Suite

200, San Mateo, California, 94404, Attention: 

Dennis Wood.  Any notice

delivered personally shall be deemed given upon receipt; any notice given by

overnight courier shall be deemed given on the next business day after delivery

to the overnight courier; and any notice given by certified mail shall be

deemed given upon the second business day after certification thereof.

 

10.   Governing Law; Jurisdiction; Venue.

This Agreement shall be governed by and construed in accordance with the laws

of the State of California applicable to contracts entered into and wholly to

be performed within the State of California. 

The parties hereto irrevocably and unconditionally agree that

jurisdiction and venue are proper in Orange County, California, and that any

action, suit or proceeding arising from or related to this Agreement may be

brought only in any state court of competent jurisdiction sitting in Orange

County, or, if it has or can acquire jurisdiction, the United States District

Court for the Central District of California.

 

11.   Amendments.  This Agreement may not be modified or amended except in a writing

duly executed by the parties hereto.

 

12.   Headings.  The section headings in this Agreement have been inserted as a

matter of reference and are not part of this Agreement.

 

13.   Successors and Assigns.  The benefits of this Agreement shall inure

to the parties hereto, their respective successors and assigns, and the

obligations and liabilities assumed in this Agreement shall be binding upon the

parties hereto and their respective successors and assigns.  Notwithstanding anything contained herein to

the contrary, neither Standard nor Telegen shall assign to an unaffiliated

third party any of its obligations hereunder.

 

14.   Counterparts; Facsimile Signatures.  This Agreement may be executed in any number

of counterparts, each of which shall be, and shall be deemed to be, an original

instrument, but all of which taken together shall constitute one and the same

agreement.  Facsimile signatures shall

be deemed to be original signatures for all purposes.

 

15.   Representations and Warranties.

Standard represents, warrants, and covenants the following to Telegen:

 

(a)   Experience.  Standard is a firm specializing in investment banking and

broker-dealer services, with experience in the public and private capital

markets.

 

(b)   Duly Registered.  Standard is (and at all times during the

Engagement Period shall be) (i) duly registered as a broker and a dealer

pursuant to the applicable provisions of the Securities Exchange Act of 1934,

as amended (the ”Exchange Act”), and the rules and

regulations promulgated thereunder; (ii) a member in good standing of the

National Association of Securities Dealers, Inc. (the ”NASD”); and (iii) duly

registered, licensed, and in good standing as a broker and a dealer under the

laws of each jurisdiction as Standard is required to be registered, licensed,

and/or in good standing in order to perform the services contemplated by this

Agreement and otherwise perform its obligations hereunder.  Each person employed, engaged, or appointed

by Standard to assist or participate in the performance of the services to be

rendered pursuant to this Agreement (each, an ”Affiliate”) is (and at all

times during the Engagement Period shall be) (i) duly registered (as required

by the Legal Requirements, as that term is defined herein) pursuant to the

applicable provisions of the Exchange Act and the rules and regulations

promulgated thereunder; (ii) a member in good standing of the NASD (as required

by the Legal Requirements); and (iii) duly registered, licensed, and in good

standing (as required by the Legal Requirements) under the laws of each

jurisdiction in which such person will perform the services contemplated by

this Agreement, or as otherwise may be required.

(c)   Compliance with Laws.  Standard’s and/or its Affiliates’

performance of the services to be provided pursuant to this Agreement and the

performance of all of its obligations hereunder (i) does not and will not contravene or conflict with, or result in a

violation of, or give any governmental agency or body or any other person the

right to challenge any of the transactions contemplated hereby or to exercise

any remedy or obtain any relief under any federal, state, local,

municipal, foreign, international, multinational, or other administrative

order, constitution, law, ordinance, principle of common law, regulation, rule,

statute, or treaty (collectively, “Legal

Requirement”); (ii) does not and will not require Standard or

its Affiliates to be registered, licensed,

or otherwise qualified in any capacity or associated with or a member of any

agency or body or any other person other than that which Standard or its

Affiliates are currently or then registered, licensed or otherwise qualified or

with which it is associated or of which it is a member; and (iii) does not and

will not make any exemption from the registration requirements of the 1933 Act,

or any state or foreign law, regulation or rule applicable to the registration

of securities, in each case as amended and in effect from time to time during

the Engagement Period, unavailable to Telegen or cause Telegen not to be eligible

to avail itself thereof for any reason whatsoever, or give any purchaser of

Telegen’s securities any right of rescission or similar right of cancellation

and refund.

Standard is ready to begin representing Telegen at your

convenience.  If

the foregoing correctly sets forth our agreement, please execute one copy of this contract and return an original to our

office.  Standard looks forward to a

successful consulting and investment banking assignment with Telegen.

 

Sincerely yours,

 

 

Standard Investment Chartered, Inc.

John H. Norberg

President

 

Agreed to:

 

 

	

  /S/ JESSICA L STEVENS

  	

   

  	

  Dated

  	

  8 Aug 2001

  
	

  Jessica L. Stevens, CEO

  	

   

  	

   

  	

   

  
	

  Telegen Corporation

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

  /S/ JOHN H NORBERG

  	

   

  	

  Dated

  	

  7/30/01

  
	

  John H. Norberg, President

  	

   

  	

   

  	

   

  
	

  Standard Investment Chartered, Inc.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00031-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00031-of-00352.parquet"}]]