Document:

Exhibit 10.8.1

 

AMENDMENT NO. 1
TO

EMPLOYMENT AGREEMENT

 

AMENDMENT
NO. 1 dated March 6, 2006 (“Amendment No. 1”),
to the EMPLOYMENT AGREEMENT dated August 25,
2004 by and between MDC PARTNERS INC., a
corporation existing under the laws of Canada (the “Company”), and STEVEN BERNS (the
“Executive”).

 

WHEREAS, the parties
hereto desire to amend the Employment Agreement to provide for amended terms and
conditions;

 

NOW,
THEREFORE, in consideration of the mutual covenants and
agreements set forth in this Amendment No. 1, and for other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties do hereby agree as follows:

 

1.                                       Capitalized
terms used in this Amendment No. 1 and not otherwise defined shall have
the meaning given to such terms in the Employment Agreement.

 

2.                                       Section 3(a) of
the Employment Agreement is hereby amended and restated in its entirety as
follows:  “Title. Effective as of November 3,
2005, and for the remainder of the Term, the Executive shall have the position
of President and Chief Financial Officer of the Company.”

 

3.                                       Section 4(a) of
the Employment Agreement is hereby amended by deleting the reference to “an
annualized base salary of $475,000” therein, and replacing it with “effective January 1,
2006, an annualized base salary of $550,000.”

 

4.                                       Section 4(d) of
the Employment Agreement is hereby amended by deleting the reference to “an
annual discretionary cash bonus in an amount up to 100%” therein, and replacing
it with “an annual discretionary cash bonus in an amount up to 150%.”

 

5.                                       As used herein
and in the Employment Agreement, the term “Agreement” shall mean the Employment
Agreement, as from time to time amended (including, without limitation, this
Amendment No. 1).

 

6.                                       Except as set
forth above, the Employment Agreement, as amended herein, shall remain in full
force and force without further modification. This Amendment No. 1 may be
executed in one or more counterparts.

 

 

IN
WITNESS WHEREOF, the parties hereto have executed this Amendment No. 1
to the Employment Agreement, on the day and year first above written.

 

 

	
   

  	
  MDC PARTNERS INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Steven Berns

  

 

2Exhibit 10.14.4

 

ZYMAN GROUP, LLC

950 East Paces Ferry Road, N.E.

Suite 3300

Atlanta, Georgia 30326

 

 

January 31, 2006

 

 

MDC Partners, Inc.

45 Hazleton Avenue

Toronto, Ontario, Canada M5R 2E3

 

Zyman Company, Inc.

950 East Paces Ferry Road, N.E.

Suite 3300

Atlanta, Georgia 30326

 

Re:                               Amendment
to Amended and Restated Limited Liability Company Agreement of

Zyman Group, LLC (the “Company”) dated April 1, 2005 (the “LLC
Agreement”)

 

Gentlemen:

 

The undersigned and each of you comprise the parties necessary to effect
certain amendments to the LLC Agreement. 
The amendments specified below are made in accordance with the
provisions of Section 14.4 of the LLC Agreement.  The amendments set forth herein shall be
effective upon and at the time Timothy Pearson is hired as the Company’s Chief
Executive Officer (the “Amendment Time”).

 

1.             The Company, MDC
Partners Inc. (“MDC”) and Zyman Company, Inc. (“Zyman Co.”, and together
with the Company and MDC, collectively, the “Parties”) represent and warrant to
each other as follows:

 

(a)                                  Such
Party has the full legal right and capacity to enter into this letter agreement
and perform such Party’s obligations hereunder.

 

(b)                                 This
letter agreement has been duly and validly executed and delivered by such
Party, and assuming due authorization, execution and delivery by the other
Parties hereto, constitutes a legal and valid binding obligation of such Party
enforceable against such Party in accordance with its terms, except that such
enforcement may be subject to applicable bankruptcy, insolvency or other
similar laws, now or hereafter in effect, affecting creditors’ right generally.

 

(c)                                  The
execution and delivery by such Party of this letter agreement, and the
consummation by such Party of the transactions contemplated herein, have been
(or will be on or prior to the Amendment Time) duly authorized by all requisite
corporate or limited liability company action, as the case may be, on behalf of
such Party, and does not conflict with, or result in a violation or breach of,
the formation documents or limited liability

 

 

company agreement, or charter
or bylaws, as the case may be, of such Party.

 

(d)                                 The
execution and delivery by such Party of this letter agreement, and the
performance by such Party of its obligations hereunder, and the consummation of
the transactions contemplated hereby, will not result in the violation by such
Party of any statute, law, rule, regulation or ordinance, or any judgment,
decree, order, writ, permit or license of any governmental or regulatory
authority applicable to such Party.

 

(e)                                  With
respect to such Party, no consent, approval or action of, or filing with or
notice to, any governmental or regulatory authority or other person or party is
necessary or required with respect to its execution and delivery of the letter
agreement, and the consummation by it of the transactions provided herein.

 

2.             The first sentence of
Section 10.2(a) of the LLC Agreement is hereby amended and restated
as follows:

 

“(a)         Subject
to Section 10.2(d), at any time during the period commencing on the fifth
anniversary of the Effective Time in the case of the Management Unitholders,
and the third anniversary of the Effective Time in the case of Zyman, and
ending, solely in the case of the Management Unitholders, on the day prior to the
eighth anniversary of the Effective time (such period being referred to herein
as the “Special Unit Call Period”) (it being
understood that with respect to Zyman, the right of MDC to call the Special
Zyman Units shall continue indefinitely), MDC shall have the right (but not the
obligation), exercisable no more than once in any twelve-month period (but
which may be exercised for all or a portion of such Units upon each such
exercise) with respect to each of Zyman and each Management Unitholder, to require
Zyman and each Management Unitholder to sell to it (such right, the “Call”), in the case of Zyman, up to an aggregate of
2,750,000 Units (such number of Units, the “Special Zyman Units”)
from time to time, and in the case of each Management Unitholder, up to an
aggregate of such Management Unitholder’s Pro Rata Portion (as defined in Section 13.1)
of 3,250,000 Units during the Special Unit Call Period (such Call, the “Special Unit Call”); provided that MDC shall not be
entitled to Call any Units from a Member until the day that is six months and
one day after the date on which such Units were acquired by such Member.”

 

3.             Further, the LLC
Agreement is hereby amended to delete all references therein to “Fifth
Anniversary Call Period” and “Five Year Call”, and to replace same with “Special
Unit Call Period” and “Special Unit Call”, respectively.

 

4.             Section 10.2(b) of
the LLC Agreement is hereby amended and restated as follows:

 

2

 

“(b)         Subject
to Section 10.2(d), at any time on or after April 1, 2008, and so
long as, prior to such date, SZ has not been terminated under any of the
circumstances described in Section 10.4(a) (it being understood that
the right of Zyman to put the Special Zyman Units described herein shall
continue indefinitely; provided that, if SZ’s employment is terminated as
described in Section 10.4(a), Zyman’s rights under this Section 10.2(b) shall
automatically terminate), Zyman shall have the right (but not the obligation),
exercisable not more than once in any twelve-month period (but, which may be
exercised for all or a portion of such Units upon each such exercise), to
require MDC to purchase from it (such right, the “Put”
(which term shall apply to any similar right held by Zyman or a Management
Unitholder under this Article X)), the Special Zyman Units (such Put, the “Special Unit Put”); provided that Zyman shall not be
entitled to Put any Units until the day that is six months and one day after
the date on which such Units were acquired by Zyman; and provided further, not
more than one-half of the Special Zyman Units may be put by Zyman by delivery
of a Put Exercise Notice issued prior to April 1, 2009.  Subject to the foregoing, Zyman may exercise
the Special Unit Put by delivering written notice of exercise ( a “Put Exercise Notice” (which term shall apply to any notice
of exercise of a Put pursuant to this Article X) and together with a Call
Exercise Notice, an “Exercise Notice”)
to MDC on or after April 1, 2008. 
The purchase and sale of the Special Zyman Units upon the exercise of a
Special Unit Put shall be made in accordance with the applicable provisions set
forth in Section 10.10.  Any Put
Exercise Notice delivered pursuant to this section or any other relevant section of
this Article X shall set forth the number of Special Zyman Units subject
to the Put.  The Special Zyman Units
subject to the Special Unit Put at any time shall be reduced by any Special
Zyman Units purchased by MDC pursuant to Section 10.2(a).”

 

5.             Further, the LLC
Agreement is hereby amended to delete therefrom all references to “Five Year
Put” and to replace same with “Special Unit Put.”

 

6.             Sections 10.4(a) and
10.5 of the LLC Agreement are each hereby amended to delete the references
therein to “fifth anniversary” and replace same with “third anniversary”.

 

7.             Except as set forth
above, the LLC Agreement, as amended herein, shall remain in full force and
force without further modification.

 

3

 

8.             This amendment may be
executed in one or more counterparts, and each such counterpart shall be deemed
an original instrument, but all such counterparts taken together shall
constitute but one agreement.  Facsimile
signatures shall constitute an original.

 

 

	
   

  	
  Zyman
  Group, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

Accepted and agreed to:

 

Zyman
Company, Inc.

 

 

	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

 

MDC
Partners, Inc.

 

 

	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

4

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