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EXHIBIT 10.27    
  

 
 

EMPLOYMENT AGREEMENT
  between
  TENFOLD CORPORATION and JONATHAN E. JOHNSON III    
  

        This Employment Agreement (the "Agreement"), is made and entered into as of January 31, 2002 and effective as of May 1, 2001 (the "Effective Date"),
by and between Jonathan E. Johnson III ("Employee") and TenFold Corporation, a Delaware corporation (the "Company"). 

        1.    TERM OF AGREEMENT.    This Agreement shall commence as of the Effective Date, and shall have a term of two
(2) years and one day (the "Original Term"). Subject to each party's obligations set forth below, this Agreement may be terminated by either party, with or without cause, on thirty
(30) days' written notice to the other party. After the end of the Original Term, this Agreement (and simultaneously Employee's employment) shall be automatically extended for additional
successive one (1) year periods unless the parties hereto mutually agree in writing to terminate the Agreement in accordance with the terms hereof prior to the commencement of any such one
(1) year period. 

        2.    DUTIES.    

        a.    POSITION.    Commencing on the Effective Date, Employee shall be employed as the Company's Senior Vice President
and General Counsel and will report to the Company's Chief Executive Officer. Effective December 11, 2001 and for the remaining term of the Agreement, Employee shall be employed as the
Company's Executive Vice President*
and will report to the Company's Chief Executive Officer. 

	*
	In
February 2002, Mr. Johnson also became the Company's Chief Financial Officer. 

        b.    OBLIGATIONS TO THE COMPANY.    Employee agrees that he will at all times, to the best of his ability and
experience, loyally and conscientiously perform all of the duties and obligations required of and from Employee pursuant to the terms hereof or as directed by the Company's Chief Executive Officer.
During the term of Employee's employment relationship with the Company, Employee further agrees that he will devote all of his business time, attention and effort to the business of the Company and
will use his reasonable best efforts to promote the interests of the Company, and the Company will be entitled to all of the benefits and profits arising from or incident to all such work services and
advice; provided, however, that Employee may perform and accept compensation for personal services of an incidental nature rendered to a party other than the Company if the performance of such
services is approved by the Company's Chief Executive Officer (such approval not to be unreasonably withheld) and does not impair Employee's ability to perform his duties hereunder. 

        3.    AT-WILL EMPLOYMENT.    The Company and Employee acknowledge that Employee's employment is and shall
continue to be at-will, as defined under applicable law. If Employee's employment terminates for any reason, Employee shall not be entitled to any payments, benefits, damages, award or
compensation other than as provided in this Agreement, or any enhanced compensation or benefit, except as may otherwise be available under the Company's established written plans and written policies
at the time of termination under such plans' general terms; provided, however, that any severance benefit due Employee shall be only as set forth in this Agreement. 

        4.    COMPENSATION.    For the duties and services to be performed by Employee hereunder, the Company shall pay
Employee, and Employee agrees to accept, the base salary, options, bonuses and other benefits described below in this Section 4. 

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        a.    SALARY.    Employee shall receive a base monthly salary of $17,083.33 which is equivalent to $205,000**
on an annualized basis (the "Base Salary"). Employee's Base Salary will be payable in equal payments per month pursuant to the Company's normal payroll practices. The Base Salary shall be reviewed
from time to time by the Company's Chief Executive Officer and the compensation committee of the Company's board of directors (hereinafter "Compensation Committee") and any change will be effective as
of the date determined appropriate by the Company's Chief Executive Officer and the Compensation Committee. Effective as of the date of any such change, the Base Salary as changed shall be considered
the new Base Salary for purposes of this Agreement. 

	**
	In
February 2002, Mr. Johnson's Base Salary was increased to $225,000 per year. 

        b.    STOCK OPTIONS AND OTHER INCENTIVE PROGRAMS.    The Company and Employee each acknowledges that the Company has
previously granted Employee the following options to purchase of the Company's common stock: (i) an option to purchase 10,000 shares on May 14, 1999 at $12.60 per share; (ii) an
option to purchase 10,000 shares on January 28, 2000 at $4.88 per share; (iii) an option to purchase 10,000 shares on August 15, 2000 at $7.25 per share; (iv) an option to
purchase 40,000 shares on September 29, 2000 at $4.43 per share; and (v) an option to purchase 35,000 shares on December 15, 2000 at $1.625 per share; and (vi) an option to
purchase 300,000 shares on July 19, 2001 at $0.41 per share (collectively, the "Preexisting Options"). Employee has not purchased any shares granted under any of the Preexisting Options. Except
as otherwise provide in this subsection, the Preexisting Options shall remain in full force and effect. Employee shall be eligible to participate in the Company's Stock Option Plan, Employee Stock
Purchase Plan, and any other incentive programs available to officers or employees of the Company. In contemplation of this Agreement, the Company's Chief Executive Officer has recommend to the
Company's board of directors and the Compensation Committee, and the Company's board of directors and the Compensation Committee approved on July 19, 2001, that Employee be awarded an option to
purchase three hundred thousand (300,000) shares at $0.41 per share (as adjusted for any stock split or similar event) of the Company's common stock (the "Employment Agreement Options"). The
Employment Agreement Options first become exercisable to the extent of 25% of total shares on the first anniversary of the Effective Date, then another 6.25% of total shares after the end of each
three-month period commencing on the first anniversary of the Effective Date, until the all of the shares under the option shall be fully exercisable; provided, however, that in the event of a Change
of Control (i) all of the shares under such option shall become fully exercisable five (5) days before a Change in Control and (ii) the terms of Section 14 of the Company's
2000 Stock Plan shall apply; provided, however, that in the event of an conflict between clauses (i) and (ii), clause (i) shall govern. The Company and Employee hereby revise and amend
the Preexisting Options option agreement so that in the event of a Change of Control all of the shares under such option grants shall become fully exercisable five (5) days before a Change in
Control and shall remain exercisable for a period of one (1) year following the Change of Control event. 

        c.    BONUSES.    The Company will provide Employee with an opportunity to earn an annual cash bonus (the "Annual
Bonus") each year during the term of this Agreement of up to one hundred percent (100%) of the Base Salary in additional annual variable compensation, based upon the Company's performance and
Employee's achievement of key objectives that contribute to the Company's success. Employee's entitlement to and the amount of the Annual Bonus shall be determined in the reasonable discretion of the
Company's Chief Executive Officer after consulting with the Compensation Committee. Employee acknowledges that given the Company's current financial condition, the Company is unlikely to pay Employee
an Annual Bonus at the end of calendar year 2001. Notwithstanding the foregoing sentence, the Company agrees that it will pay any deemed annual Annual Bonus under Section 5 below. The Company's
Chief Executive Officer 

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and Employee shall mutually agree upon Employee's key objectives at the start of each calendar year that will be used to determine the actual amount of the Employee's Annual Bonus. 

        d.    VACATION.    Employee shall be entitled to three weeks vacation during each year of employment. Employee shall
accrue any unused vacation. 

        e.    ADDITIONAL BENEFITS.    Employee will be eligible to participate in the Company's employee benefit plans of
general application, including without limitation, those plans providing medical, disability and life insurance in accordance with the rules established for individual participation in any such plan
and under applicable law. Employee will be eligible for sick leave in accordance with the policies in effect during the term of this Agreement and will receive such other benefits as the Company
generally provides to its other senior executive employees. 

        f.    REIMBURSEMENT OF EXPENSES.    Employee shall be authorized to incur on behalf and for the benefit of, and shall
be reimbursed by, the Company for reasonable business expenses, provided that such expenses are substantiated in accordance with Company policies. Company shall reimburse Employee promptly. 

        g.    GOLDEN PARACHUTE PAYMENTS.    If a payment pursuant to this Agreement would result in (or increase) an excise
tax under Internal Revenue Code §4999(a), the excess parachute payment shall be reduced to that amount (if any) which maximizes the difference between the excess parachute payment and the
excise tax. 

        h.    CHANGE IN CONTROL.    For purposes of this Agreement, "Change of Control" means the occurrence of any of the
following events: 

        i.    Any
"person," as such term is currently used in Section 13(d) of the Securities Exchange Act of 1934, other than Jeffrey L. Walker and/or his affiliates, becomes a
"beneficial owner," as such term is currently used in Rule 13d-3 promulgated under that Act of forty percent (40%) or more of the Voting Stock of the Company. For purposes of this
Agreement, Voting Stock means the issued and outstanding capital stock or other securities of any class or classes having general voting power under ordinary circumstances, in the absence of
contingencies, to elect the directors of a corporation. 

        ii.    The
first day on which a majority of the Board consists of individuals other than Incumbent Directors, which term means the members of the Board on the date hereof;
provided that any individual becoming a director subsequent to such date whose election or nomination for election was supported by two-thirds of the directors who then comprised the
Incumbent Directors shall be considered to be an Incumbent Director. 

        iii.    The
Board adopts any plan of liquidation providing for the distribution of all or substantially all of the Company's assets. 

        iv.    All
or substantially all of the assets or business of the Company are disposed of in any one or more transactions pursuant to a merger, consolidation or other
transaction (unless the shareholders of the Company immediately prior to such merger, consolidation or other transaction beneficially own, directly or indirectly, in substantially the same proportion
as they owned the Voting Stock, all of the Voting
Stock or other ownership interests of the entity or entities, if any, that succeed to the business of the Company). 

        v.    The
Company combines with another company and is the surviving corporation but, immediately after the combination, the shareholders of the Company immediately prior to
the combination hold, directly or indirectly, fifty percent (50%) or less of the Voting Stock of the combined company, (there being excluded from the number of shares held by such shareholders, but
not from the Voting Stock of the combined company, any shares received by affiliates of such other company in exchange for securities of such other company). 

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        i.    PROFESSIONAL FEES AND CONTINUING EDUCATION.    The Company shall reimburse Employee for professional dues and
reasonable and pre-approved continuing education expenses relating to maintaining his membership in the California and Utah bars. 

        j.    ADDITIONAL INSURANCE.    The Company shall reimburse Employee annually (grossed-up for Employees'
effective tax rate), in advance, for Employee's purchase and maintenance of one million dollars ($1,000,000) in term life insurance for Employee. Employee shall retain the exclusive right to name and
change, at Employee's sole discretion, the beneficiaries of such term life insurance policy. The Company shall reimburse Employee annually (grossed-up for Employees' effective tax rate),
in advance, for the purchase and maintenance of a first rate, individual, portable, non-cancelable, guaranteed and renewable disability insurance policy for Employee for the maximum
available coverage through a carrier of Employee's choice. Employee shall retain the right to direct payments under such disability insurance policy. Employee may elect to opt out of all or part of
the Company's standard disability insurance coverage. 

        5.    TERMINATION OF EMPLOYMENT AND SEVERANCE BENEFITS.    

        a.    TERMINATION OF EMPLOYMENT.    This Agreement may be terminated during its Original Term (or any extension
thereof) upon the occurrence of any of the following events: 

        i.    The
Employee's Termination for Cause (as defined in Section 6): 

        ii.    The
Company's termination of Employee without Cause, which determination may be made by the Company at any time at the Company's sole discretion, for any or no reason
("Termination Without Cause"); 

        iii.    The
Employee's "Constructive Termination" (as defined in Section 7); or 

        iv.    The
effective date of a written notice sent to the Company from Employee stating that Employee is electing to terminate his employment with the Company ("Voluntary
Termination"). 

        b.    SEVERANCE BENEFITS.    Employee shall be entitled to receive severance benefits upon termination of employment
only as set forth in this subsection. 

        i.    VOLUNTARY TERMINATION.    If Employee's employment terminates by Voluntary Termination, then all compensation
under this Agreement shall cease to accrue as of the date of termination and Employee shall not be entitled to receive payment of any severance benefits. Employee's benefits will be continued under
the Company's then existing benefit plans and policies in accordance with such plans and policies in effect on the date of termination, and any earned Base Salary shall be paid through normal payroll. 

        ii.    INVOLUNTARY TERMINATION.    If Employee's employment is terminated other than by reason of Employee's death,
having become Totally Disabled under subsection (d), Voluntary Termination or Termination for Cause (an "Involuntary Termination"), Employee's regular compensation shall cease to accrue under this
Agreement as of the date of termination. Employee shall then be entitled to payment of all regular compensation earned through the date of termination and a pro rata portion of any deemed target
Annual Bonus for the year that includes the termination within thirty (30) days of the termination. Such deemed target Annual Bonus shall equal the full target Annual Bonus for the year
multiplied by a fraction, the numerator of which is the number of days in the year through the date of the Employee's termination and the denominator of which is 365. In addition, Employee shall be
entitled to receive a monthly severance benefit, payable through the Company's normal payroll, beginning on the first payroll date that follows Employee's termination date, and continuing for six
(6) months. Such monthly severance benefit shall be equal to Employee's Base Salary. In addition, immediately upon an Involuntary Termination all vested options to 

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purchase Company stock that are either held by Employee, shall become fully exercisable through the one year anniversary of the date of the Involuntary Termination. The Company shall continue to
reimburse Employee for the purchase and maintenance of the life insurance and supplemental disability policies described in Section 4(j) above for twelve (12) months following the date
of Involuntary Termination. If Employee elects to continue to receive health insurance benefits following termination, the Company shall pay the full cost of such continuation of coverage for six
(6) months after the date following the Involuntary Termination. A Constructive Termination (as defined below) will be treated as an Involuntary Termination. 

        iii.    TERMINATION FOR CAUSE.    If Employee's employment is Terminated for Cause, then Employee shall be entitled to
receive Employee's Base Salary through the date of termination. Employee's Base
Salary shall cease to accrue after the date of such Termination for Cause. All of Employee's right to the Annual Bonus which accrue or become payable after the date of such Termination for Cause shall
terminate and cease upon such Termination for Cause. In addition, all other compensation payable under this Agreement shall cease as of the date of termination and Employee shall not be entitled to
receive payment of severance benefits. Employee's benefits will be continued under the Company's then existing benefit plans and policies in accordance with such plans and policies in effect on the
date of termination. 

        c.    DEATH.    If Employee should die during the term of this Agreement while he remains employed under this
Agreement and not Totally Disabled (as defined in subsection (d)), the Company shall pay to Employee's estate a pro rata portion of any deemed target Annual Bonus for the year of Employee's death
within thirty (30) days of Employee's death. Such deemed target Annual Bonus shall equal the full target Annual Bonus for the year multiplied by a fraction, the numerator of which is the number
of days in the year through the date of the Employee's death and the denominator of which is 365. Base Salary and all other benefits are to be paid up to the date of the death of the Employee. 

        d.    DISABILITY.    This Agreement shall also terminate upon the date the Employee shall be deemed to be Totally
Disabled. The Employee will be deemed "Totally Disabled" if the Employee is unable as a result of a physical injury or physical or mental illness to participate materially in the Company's business
and to perform substantially all of the duties required of his under the terms of this Agreement for an aggregate total of ninety (90) days (whether consecutive or non-consecutive)
during any three hundred sixty (360) day period during the term hereof. If Employee's employment with the Company is terminated because of Employee's Total Disability, the Company shall pay the
Employee his Base Salary and other benefits through the effective Termination Date and a pro rata portion of any deemed target Annual Bonus for the year Employee became Totally Disabled within thirty
(30) days of the date that it is determined that Employee is Totally Disabled. Such deemed target Annual Bonus shall equal the full target Annual Bonus for the year multiplied by a fraction,
the numerator of which is the number of days in the year through the day before the first date the Employee is deemed to be Totally Disabled and the denominator of which is 365. The Company shall
continue to reimburse Employee for the purchase and maintenance of the life insurance policy described in Section 4(j) above. 

        6.    DEFINITION OF TERMINATION FOR CAUSE.    For purposes of this Agreement, a "Termination for Cause" means the
Employee's termination by the Company following the discovery of the occurrence of one or more of the following events: 

        a.    Employee's
willful misconduct or gross negligence in the performance of his duties hereunder, including Employee's refusal to comply in any material respect with the
legal directive of the Company's Chief Executive Officer, or any committee thereof, so long as such directives are 

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not inconsistent with the Employee's position and duties, and such refusal to comply is not remedied within ten (10) working days after receipt of written notice from the Company, which
written notice shall state that failure to remedy such conduct may result in Termination for Cause; 

        b.    Dishonest
or fraudulent conduct that materially discredits the Company or is materially detrimental to the Company's reputation, business, operations, or relations with
its employees, suppliers or customers; 

        c.    Employee's
incurable material breach of this Agreement or any element of the Company's Employee Proprietary Information and Invention Assignment Agreement, including
without limitation, Employee's theft or other deliberate misappropriation of the Company's proprietary information; 

        d.    Employee's
conviction of a felony or of a misdemeanor involving fraud, dishonesty or moral turpitude with respect to the Company or any of its customers or suppliers; 

        e.    Employee's
habitual abuse of alcohol or prescription drugs, other than in doses prescribed by a licensed physician, or abuse of controlled substances that has a material
adverse impact on his job performance; or 

        f.      Employee
fails to meet minimum performance standards established by the Company's Chief Executive Officer after consulting with the Company's board of directors and set
forth in a mutually agreed written performance improvement plan, such agreement not to be unreasonably withheld, with a minimum ninety (90) day period to cure such performance deficiencies. 

        7.    DEFINITION OF CONSTRUCTIVE TERMINATION.    A "Constructive Termination" shall be deemed to occur if without
Employee's express written consent (a) either (i) there is a material adverse change in Employee's position, title, stature, duties or responsibilities which remains uncorrected for
thirty (30) days or more following Employee's written notice to the Company, or (ii) a reduction of Employee's Base Salary and (b) within 90 days of the occurrence of any
event listed in clause (a), Employee provides the Company written notice that Employee is electing to terminate his employment with the Company. 

        8.    CONFIDENTIALITY AND IDENMIFICATION AGREEMENTS.    Employee has signed an Employee Proprietary Information and
Invention Agreement, dated April 20, 1999, which agreement remains in full force and effect. Employee has signed an Indemnification Agreement, dated August 8, 2000, which agreement
remains in full force and effect. 

        9.    NON-COMPETITION, ETC.    

        a.    Employee
covenants and agrees that during the Original Term or any extension thereof plus for the period of time he receives Severance Benefits due to an Involuntary
Termination, Employee (i) shall not engage, anywhere within the geographical areas in which the Company is then conducting its business
operations, directly or indirectly, alone, in association with or as a shareholder, principal, agent, partner, officer, director, employee or consultant of any other organization, in any business (a
"Competitive Business") which directly competes with any business then being conducted by the Company and in which Employee was directly involved; provided, that the foregoing shall not prohibit the
Employee from owning a maximum of two percent (2%) of the common stock of any publicly traded corporation; (ii) shall not solicit to leave the employ of the Company or hire any officer,
employee or consultant of the Company; (iii) shall not solicit, divert or to take away, the business or patronage of any of the customers or accounts of the Company, which were contacted,
solicited or served by the Employee at any time during the Employee's employment; and (iv) shall not acquire, or assist any other party in acquiring, any shares of the Company, or otherwise
seek, or assist any other party in seeking to gain control of the Company. 

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        b.    The
Employee acknowledges and agrees that because of the nature of the business in which the Company is engaged and because of the nature of the confidential information
to which the Employee has access during his employment as described in the Employee Proprietary Information and Invention Agreement, it would be impractical and excessively difficult to determine the
actual damages of the Company in the event the Employee breached any of the covenants of subsection (a) or the Employee Proprietary Information and Invention Agreement, and remedies at law
(such as monetary damages) for any breach of the Employee's obligations under subsection (a) or the Employee Proprietary Information and Invention Agreement would be inadequate. The Employee
therefore agrees and consents that if he commits any breach of a covenant under subsection (a) or the Employee Proprietary Information and Invention Agreement or threatens to commit any such
breach, the Company shall have the right (in addition to, and not in lieu of, any other right or remedy that may be available to it) to seek temporary and permanent injunctive relief from a court of
competent jurisdiction. Employee acknowledges and agrees that subsection (a) of this Section is reasonable and is necessary for the legitimate protection of the Company, and will not deprive
Employee of a reasonable opportunity to practice his profession or trade. With respect to any provision of subsection (a) or the Employee Proprietary Information and Invention Agreement that is
finally determined to be unenforceable, the Employee and the Company hereby agree that this Agreement or any provision hereof shall be reformed in a manner that retains as much of the original intent
of the Agreement as is both practicable and consistent with applicable law. 

        10.    CONFLICTS.    Employee represents that his performance of all the terms of this Agreement will not breach any
other agreement to which Employee is a party. Employee has not, and will not during the term of this Agreement, enter into any oral or written agreement in conflict with any of the provisions of this
Agreement. Employee further represents that he is entering into or has entered into an employment relationship with the Company of his own free will. 

        11.    SUCCESSORS.    Any successor to the Company (whether direct or indirect and whether by purchase, lease, merger,
consolidation, liquidation or otherwise) to all or substantially all of the Company's business and/or assets shall assume the obligations under this Agreement and agree expressly to perform the
obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such obligations in the absence of a succession. The terms of this Agreement and
all of Employee's rights hereunder shall inure to the benefit of, and be enforceable
by, Employee's personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. 

        12.    NOTICE.    Any notice required or permitted by this Agreement shall be in writing and shall be deemed
sufficient on the date of delivery, when delivered personally or by overnight courier or sent by telegram or fax, or forty-eight (48) hours after being deposited in the U.S. mail, as certified
or registered mail, with first class postage prepaid, and addressed to the party to be notified at such party's address as set forth below, or as subsequently modified by written notice. Employee's
address is 4553 South Loren Von Drive, Salt Lake City, Utah 84124, Facsimile: (801) 274-2030. Company's address is TenFold Corporation, Attn: General Counsel, 180 West Election
Road, Suite 100, Draper, Utah 84020, Facsimile: (801) 619-8204. 

        13.    MISCELLANEOUS PROVISIONS.    

        a.    NO DUTY TO MITIGATE.    Employee shall not be required to mitigate the amount of any payment contemplated by
this Agreement (whether by seeking new employment or in any other manner), nor shall any such payment be reduced by any earnings that Employee may receive from any other source. 

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        b.    WAIVERS, ETC.    No amendment of this Agreement and no waiver of any one or more of the provisions hereof shall
be effective unless set forth in writing by such person against whom enforcement is sought. 

        c.    SOLE AGREEMENT.    With the exception of the Employee Proprietary Information and Invention Agreement, dated
April 20, 1999, the Indemnification Agreement, dated August 8, 2000, and stock options granted Employee, this Agreement constitutes the sole agreement of the parties and supersedes all
oral negotiations and prior writings with respect to the subject matter hereof. To the extent this Agreement affects any pre-existing award of equity-based compensation, such award shall
be deemed amended consistent with this Agreement. 

        d.    AMENDMENT.    This agreement may be amended, modified, suppressed or canceled only by an agreement in writing
executed by both parties hereto. 

        e.    CHOICE OF LAW.    The validity, interpretation, construction and performance of this Agreement shall be governed
by the laws of the State of California, without giving effect to the principles of conflict of laws. 

        f.    VENUE.    All disputes, claims or proceedings between the parties related to the validity, construction or
performance of this Agreement shall be subject to the choice of jurisdiction of the state and federal courts of the State of California. The parties irrevocably consent to jurisdiction in the courts
of the State of California for resolution of any claim or dispute hereunder, and such shall be the exclusive forum for the resolution of such claim or dispute. 

        g.    SEVERABILITY.    If any term or provision of this Agreement or the application thereof to any circumstance
shall, in any jurisdiction and to any extent, be invalid or unenforceable, such term or provision shall be ineffective as to such jurisdiction to the extent of such invalidity or unenforceability
without invalidating or rendering unenforceable the remaining terms and provisions of this Agreement or the application of such terms and provisions to circumstances other than those as to which it is
held invalid or unenforceable, and a suitable and equitable term or provision shall be substituted therefor to carry out, insofar as may be valid and enforceable, the intent and purpose of the invalid
or unenforceable term or provision. 

        h.    COUNTERPARTS.    This Agreement may be executed in counterparts, each of which shall be deemed an original, but
all of which together will constitute one and the same instrument. 

[SIGNATURE
PAGE TO FOLLOW] 

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        The
parties have executed this Agreement as of the Effective Date. 

	 	 	TENFOLD CORPORATION
	

 	
 	

 
	 	 	

	 	 	By:	 	Nancy M. Harvey
	 	 	Title:	 	President and Chief Executive Officer
	

 	
 	

EMPLOYEE
	

 	
 	

 	
 	

 
	 	 	
 Jonathan E. Johnson III

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EXHIBIT 10.27

EMPLOYMENT AGREEMENT between TENFOLD CORPORATION and JONATHAN E. JOHNSON IIIQuickLinks
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EXHIBIT 10.28    
  

 
 

CONFIDENTIAL SEPARATION AGREEMENT    
  

        This Confidential Separation Agreement ("Agreement") is between Sameer Shalaby, with his principal address at 1111
Greenwich Street, San Francisco, California 94109 ("Shalaby"), and TenFold Corporation, a Delaware corporation, with its headquarters office at 180 West
Election Road, Suite 100, Draper, Utah 84020 (the "Company"). Following execution by both parties, the Agreement shall be deemed effective as of
January 28, 2002 (the "Effective Date"). 

        WHEREAS,
Shalaby has made the decision to terminate his employment with the Company, effective as of the Effective Date; and 

        WHEREAS,
the parties desire to document the terms and conditions of the amicable termination of Shalaby's employment with the Company to completely resolve all outstanding claims which
have been or could be raised between them; 

        NOW
THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, the Company and Shalaby hereby agree as follows: 

        1.    Resignation.    Effective as of the Effective Date, Shalaby hereby resigns as an employee, officer, and director
of the Company and its subsidiaries, as applicable. Notwithstanding the foregoing, Shalaby agrees to provide Jeff Walker with reasonable transition services, of no more than eight (8) hours,
around the management of the Company's development organization and the Universal Application knowledge transfer plan. 

        2.    Payment of Wages Due; Reimbursement of Expenses.    Within three (3) business days of the execution of
this Agreement, the Company will pay Shalaby all wages, including accrued and unused vacation as reflected on the books of the Company, due him through the Effective Date. Within thirty
(30) days of the Effective Date, the Company will reimburse Shalaby in accordance with company policy for all unpaid normal and customary travel and related business expenses incurred on behalf
of the Company prior to the Effective Date upon Shalaby's submission of the applicable expense forms and vouchers. 

        3.    Post-Termination Benefits.    Shalaby will be entitled to participate in all Company benefit plans
as a former employee, according to the terms of those benefit plans. The Company will also provide Shalaby with a timely COBRA notice, as required by law. Except as set forth in this Agreement, the
Company will have no further obligation to Shalaby for the provision of benefits. 

        4.    Stock Options.    The parties agree that in connection with his employment with the Company, Shalaby has been
granted options to purchase stock in the Company, as follows: 

        (a)  Grant
of August 16, 1993, for 80,000 shares (already exercised); 

        (b)  Grant
of December 13, 1997, for 150,000 shares (already exercised); 

        (c)  Grant
of February 6, 1998, for 100,000 shares at $2.50 per share (of which 20,000 shares have been exercised); 

        (d)  Grant
of January 20, 1999, for 20,000 shares at $5.00 per share; 

        (e)  Grant
of January 17, 2000, for 350,000 shares at $49.00 per share; and 

        (f)    Grant
of December 15, 2000, for 800,000 shares at $1.625 per share. 

To
the extent any portion of the options to purchase shares are not vested as of the Effective Date, those options will be cancelled, in accordance with the applicable terms of the grant. Shalaby is
entitled to exercise the vested but unexercised options in accordance with the applicable terms of the grant. 

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        5.    Transfer of Stock to the Company.    Shalaby represents and warrants that he currently holds a total of 32,000
restricted shares and 185,435 unrestricted shares of the Company's common stock (the "Shalaby Stock"). Upon the execution of this Agreement, Shalaby
agrees to transfer to the Company all of the Shalaby Stock in exchange for the Company forgiving $119,589.25 of the debt (described in Paragraph 6 below) Shalaby owes the Company. For the
avoidance of doubt, the parties agree that the sale amount of $119,589.25 is the product of 217,425 and $0.55 (the closing price of the Company's stock on the day prior to the Effective Date). 

        6.    Consolidation of Loans.    Employee currently has outstanding indebtedness to the Company which is evidenced by
Promissory Notes, as follows: 

        (a)  Promissory
Note of June 23, 1999, attached as Exhibit A: This note currently has a principal due of $400,000 ($100,000 of the note having been forgiven
according to its terms). 

        (b)  Promissory
Note of December 31, 2001 in the principal amount of $24,328.24, attached as Exhibit B. 

        (c)  Promissory
Note of December 31, 2001 in the principal amount of $39,751.44, attached as Exhibit C. 

        (d)  Promissory
Note of December 31, 2001 in the principal amount of $81,893.06, attached as Exhibit D. 

        (e)  Promissory
Note of December 31, 2001 in the principal amount of $140,728.13, attached as Exhibit E. 

The
parties agree that these Promissory Notes shall be consolidated into one master Promissory Note in the form attached hereto as Exhibit F (the "Master Promissory
Note"), which shall reflect the reduction in debt occasioned by the sale of stock referenced in Paragraph 5 above as well as the forgiveness of debt which occurs on the
Effective Date pursuant to Paragraph 7 below. Upon the execution the parties of this Agreement and Shalaby's execution of the Master Promissory Note, the Promissory Notes attached as Exhibits A
through E will be deemed superceded, cancelled, and of no further force or effect as of the Effective Date. Shalaby will execute the Master Promissory Note as of the Effective Date. 

        7.    Forgiveness of Indebtedness.    The parties agree that so long as Shalaby is in compliance with the terms of
this Agreement as of the date of each scheduled forgiveness, the Company shall forgive (a) $25,000 of principal on the Effective Date, (b) an aggregate of $50,000 in principal and
interest on the last day of each calendar quarter (i.e., March 31, June 30, September 30, and December 31) through December 31, 2003, and (c) the remaining
balance of principal and interest due on the second anniversary of the
Effective Date. Company agrees to notify Shalaby, in writing, within ten (10) business days after the close of each applicable calendar quarter, the exact amounts of principal and of interest
forgiven at the close of such quarter. Shalaby agrees to promptly and timely pay any and all taxes owed by him arising out of each amount of forgiveness under the terms of this Paragraph. 

        8.    Non-Employment by Certain Entities.    Unless permitted in writing by the Company, for forty-eight
(48) months from the Effective Date, Shalaby agrees not to become employed by or engaged as a consultant in conjunction with the Company's Current Business (as defined below), by (a) any
TenFold Customer (as defined below) or any of their subsidiaries, Affiliates (as defined below), parent companies, or companies owned by a common parent company; (b) any entity which provides
IT services directly related to the Company's Current Business to any TenFold Customer, or (c) Exigen, Sapient, Perot Systems, Cap Gemini, TCS or Superior. In addition, in the future, unless
permitted in writing by the Company, for a period of twelve (12) months from the Effective Date, Shalaby agrees not to engage in any substantive conversation with any party other than the
Company's senior management and officers, including, without limitation, Allstate, regarding the Company's relationship 

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or contract with Allstate. For purposes of this Agreement, "Current Business" means any ongoing relationship, or any relationship that has ended no
more than six months earlier, between the Company and a TenFold Customer regarding the provision by the Company to the TenFold Customer of software and/or services so that the TenFold Customer may
build applications to be used by the TenFold Customer, and the continuing provision of software and/or design, development, implementation, repair, support, maintenance or other services to or for a
TenFold Customer related to the software or services which permit the customer to build applications. For purposes of this Agreement, each of the following entities, and no other, is a
"TenFold Customer": Allstate Corporation, Abbey National Bank, Barclays Global Investors, Bonneville Power Administration, Cedars Sinai Medical Center,
JPMorgan Chase Corporation, NSS S.A., and Vertex Ltd. For purposes of this Paragraph, "Affiliate" means any entity that, through an ownership
interest, controls, is controlled by, or is under control with, directly or indirectly, any TenFold Customer. 

        9.    Non-Solicitation of Employees; Non-Competition.    Shalaby covenants and agrees that for
forty-eight (48) months from and after the Effective Date he (a) shall not engage, anywhere within the geographical areas in which the Company is now conducting its business operations,
directly or indirectly, alone, in association with or as a shareholder, principal, agent, partner, officer, director, employee or consultant of any other organization, in any business which directly
competes with the Company's Current Business as of the Effective Date (a "Competitive Business"); provided, that the foregoing shall not prohibit
Shalaby from owning a maximum of two percent (2%) of the common stock of any publicly traded corporation; (b) shall not solicit to leave the employ of the Company any officer, employee, or
consultant of the Company; (c) shall not hire any officer or employee of the Company or any former officer or employee of the Company unless such former employee has not been employed by the
Company for a period of three months; (d) shall not divert or to take away from the Company the business or patronage of any of the customers of the Company which were contacted, solicited or
served by Shalaby at any time during his employment by the Company; and (e) shall not acquire, or assist any other party in acquiring or seeking to acquire, control of the Company or its
assets. 

        10.    Notice and Opportunity to Cure Breach.    In the event of any breach of this Agreement by either party, the
non-breaching party shall give written notice of the breach to the breaching party (including a
description of the allegedly breaching conduct and specify in the paragraph of the Agreement allegedly breached) and provide a period of thirty (30) days in which the breach may be cured by the
allegedly breaching party. All notices, including notices of address change, required to be sent hereunder shall be in writing and shall be deemed to have been given when mailed by first class mail to
the addresses in the first paragraph of this Agreement, or to such other superceding address of one party as may have been provided in writing by the other party. 

        11.    Damages on Breach of this Agreement.    The parties expressly recognize and acknowledge the delays, expenses
and difficulties which would be involved in proving, in a legal proceeding, the actual damages or losses suffered by the parties if there is a breach of this Agreement. Accordingly, the parties agree
that, as liquidated damages for any material breach of this Agreement, the breaching party will owe liquidated damages as specified herein. In the event of any material breach of this Agreement by
Shalaby (after notice and opportunity to cure), Shalaby shall be required to pay to the Company, within fifteen (15) days, the amount of indebtedness remaining due pursuant to the Master
Promissory Note, less the forgiveness that has occurred by operation of Paragraph 7 above. Following the date of breach, no further indebtedness will be forgiven. In the event any material
breach of this Agreement by Shalaby (after notice and opportunity to cure) after the second anniversary but before the third anniversary of the Effective Date Shalaby shall be required to pay to the
Company, within fifteen (15) days, an amount equivalent to the entire amount of indebtedness forgiven by the Company on the Second Anniversary of the Effective Date, pursuant to
Paragraph 7(c) above. In the event any material breach of this Agreement by Shalaby (after notice and opportunity to cure) after the third 

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anniversary but before the fourth anniversary of the Effective Date, Shalaby shall be required to pay to the Company, within fifteen (15) days, an amount equivalent to fifty percent (50%) of
the amount of indebtedness forgiven by the Company on the Second Anniversary of the Effective Date, pursuant to Paragraph 7(c) above. In the event of any material breach by the Company (after
notice and opportunity to cure), the Company shall be required to forgive, within fifteen (15) days, all indebtedness remaining due pursuant to the Master Promissory Note. The parties agree
that either party may seek an injunction to enjoin the other party from materially breaching this Agreement. In the event of any material breach by the Company after the Second Anniversary of the
Effective Date, Shalaby shall be entitled to pursue actual damages for such breach. In the event of any material breach by Shalaby, in addition to any other remedies set forth in this Paragraph, the
Company shall be entitled to pursue actual damages for such breach, less any liquidated damages received by the Company. 

        12.    Mutual General Releases.    (a) In consideration of the promises made by the Company in this Agreement,
Shalaby on behalf of himself and any past, present or future heirs, executors, administrators, or assigns, hereby irrevocably and unconditionally release and hold harmless the Company and its agents,
directors, officers, employees, representatives, attorneys and the Company's affiliated companies, divisions, subsidiaries and parents (and the agents, directors, officers, employees, representatives
and attorneys of such affiliates), and their predecessors, successors, heirs, executors, administrators and assigns, and all persons acting by, through, under or in concert with any of them
(collectively "Company Releases"), or any of them, from any and all actions, causes of action, suits, debts, charges, complaints, claims, demands,
losses, liabilities and obligations of any nature whatsoever, in law or equity, known or unknown, suspected or unsuspected, which Shalaby ever had, now has, or he or his heirs, executors,
administrators or assigns hereafter may claim to have against each or any of the Company Releasees (hereinafter the "Shalaby Claims"), arising from or
relating in any way to his employment relationship with the Company or the termination thereof, whether the Shalaby Claims arise from any alleged violation by the Company of any federal, state or
local statutes, ordinances or
common law, and whether based on contract, tort, or statute or any other legal or equitable theory of recovery. Such claims include, without limitation, any claims relating to severance, stock options
or other benefits, unpaid wages, salary or incentive payment, breach of express or implied contract, wrongful discharge, or employment discrimination under any applicable federal, state or local
statute, provision, order or regulation, including but not limited to, and any claim under Title VII, except that this release shall not extend to any claim for indemnity by Shalaby against the
Company or any Company Releasee, pursuant to Section 2802 of the California Labor Code, or pursuant to the Company's internal governance documents, including but not limited to its Articles of
Incorporation and By-Laws, which provide for indemnity of representatives of the Company in the event of claims by third parties. Shalaby understands the forgoing to be a general release
of all Shalaby Claims. Shalaby agrees that the release contained in this Paragraph extends to all claims whatsoever, except those specifically given or
described in this Agreement. Shalaby further agrees that neither he nor any person, organization or any other entity acting on his behalf will file, charge, claim, sue, participate in, join or cause
or permit to be filed, charged or claimed, any action, claim, grievance or demand for damages or other relief (including injunctive, declaratory, monetary or other) against the Company, each of the
Company's subsidiaries, their respective affiliates and successors and their respective officers, directors, employees, agents and representatives, past, present or future, with respect to the Shalaby
Claims which are the subject of this Agreement. Shalaby expressly and knowingly waives any and all rights under Section 1542 of the Civil Code of the State of California, which provides as
follows: 

"A
general release does not extend to claims which creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his
settlement with the debtor." 

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For
all purposes of this section of this Agreement, the term "creditor" as used and referenced in Section 1542 of the Civil Code of the State of California means and includes Shalaby, his
heirs, executors, administrators, or assigns. 

        (b)  In
consideration of the promises made and release given by the Shalaby in this Agreement, the Company on behalf of itself, its predecessors, successors and assigns,
hereby irrevocably and unconditionally releases and holds harmless Shalaby and his heirs, executors, administrators, or assigns, and all persons acting by, through, under or in concert with any of
them (collectively "Shalaby Releasees"), or any of them, from any and all actions, causes of action, suits, debts, charges, complaints, claims, demands,
losses, liabilities and obligations of any nature whatsoever, in law or equity, known or unknown, suspected or unsuspected, which the Company ever had, now has, or it or its predecessors, successors
or assigns hereafter may claim to have against each or any of the Shalaby Releasees (hereinafter the "Company Claims"), arising from or relating in any
way to Shalaby's employment relationship with the Company or the termination thereof, whether the Company Claims arise from any alleged violation by Shalaby of any federal, state or local statutes,
ordinances or common law, and whether based on contract, tort, or statute or any other legal or equitable theory of recovery. Such claims include, without limitation, any claims relating to the
Company's stock, stock options, breach of express or implied contract, breach of any duties owed by an employee or officer to the Company, Shalaby's performance of his job duties or any other
obligation owed to the Company by virtue of his employment or ownership of stock or stock options in the Company. The Company
understands the forgoing to be a general release of all Company Claims. The Company agrees that the release contained in this Paragraph extends to all claims whatsoever, except those specifically
given or described in this Agreement. The Company further agrees that neither it nor any person, organization or any other entity acting on its behalf will file, charge, claim, sue, participate in,
join or cause or permit to be filed, charged or claimed, any action, claim, grievance or demand for damages or other relief (including injunctive, declaratory, monetary or other) against Shalaby, his
heirs, executors, administrators or assigns, past, present or future, with respect to the Company Claims which are the subject of this Agreement. The Company expressly and knowingly waives any and all
rights under Section 1542 of the Civil Code of the State of California, which provides as follows: 

"A
general release does not extend to claims which creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his
settlement with the debtor." 

For
all purposes of this section of this Agreement, the term "creditor" as used and referenced in Section 1542 of the Civil Code of the State of California means and includes the Company, its
predecessors, successors or assigns. 

        13.    Mutual Non-Disparagement.    (a) Shalaby agrees that he will not in the future disparage the
Company or its affiliates, officers, directors or employees or their business reputations to any person or entity; provided, however, that nothing in this Agreement shall require Shalaby to make any
untrue statements as a result of this Paragraph. 

        (b)  The
Company agrees that, so long as they are employees of the Company, Jeff Walker, Nancy Harvey, Jonathan Johnson, Michelle Moratti, and any formal Company
representative or spokesperson will not in the future disparage Shalaby or his business reputation to any person or entity; provided, however, that nothing in this Agreement shall require Jeff Walker,
Nancy Harvey, Jonathan Johnson, Michelle Moratti, or any formal Company representative or spokesperson to make any untrue statements as a result of this Paragraph. 

        14.    Mutual Positive Reference.    (a) Upon the reasonable request of the Company, Shalaby shall act as a
positive reference for the Company to the Company's current and prospective customers; provided, however, that Shalaby shall not be required to make any untrue statements as a result of this
Paragraph. 

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        (b)  Upon
the reasonable request of Shalaby, the Company, acting through Nancy Harvey and Jeff Walker, Shalaby's former managers, shall act as a positive reference for
Shalaby based on Shalaby's
employment with the Company; provided, however, that the Company shall not be required to make any untrue statements as a result of this Paragraph. 

        15.    Cooperation in Company Litigation.    In consideration of the promises made by the Company in this Agreement,
Shalaby agrees to cooperate with the Company with respect to all matters arising during or related to Shalaby's employment with the Company, including, but not limited to, all matters in connection
with any governmental investigation, litigation, regulatory, or other proceeding which may have arisen or which may arise following the signing of this Agreement. Shalaby agrees to make himself
reasonably available to the Company to answer questions and provide information concerning projects on which Shalaby has experience and expertise, and to make himself reasonably available for
depositions and to serve as a witness at trial in litigation involving the Company. The Company will reimburse Shalaby for pre-approved travel costs he incurs as a result of cooperation he
provides under this Paragraph and for Shalaby's time in excess of twenty (20) hours per matter. 

        16.    Confidentiality.    Shalaby represents and warrants that he will not disclose in the future this Agreement or
any of its terms or provisions, directly or by implication, except to members of his immediate family and to his legal and tax advisors, and then only on condition that they agree not to further
disclose this Agreement or any of its terms or provisions to any other party. Notwithstanding anything to the contrary in this Paragraph, in the event that the Company discloses the terms or
provisions of this Agreement in a public filing, Shalaby shall be released from the prohibition not to disclose the terms and provision of this Agreement to the extent that the terms or provisions of
this Agreement appear in such public filing. 

        17.    Reconfirm Agreement Not To Use Company Confidential Information.    Shalaby hereby reconfirms and agrees to all
terms, conditions, and obligations under the KeyTex Corporation Employee Proprietary Information and Inventions Agreement, dated August 11, 1993, signed by Shalaby (the
"Proprietary Information and Inventions Agreement"), which agreement is hereby incorporated by reference into this Agreement in its entirety and,
according to that Proprietary Information and Inventions Agreement, Shalaby expressly disclaims any and all interest in all such proprietary information of the Company. Notwithstanding the foregoing,
the parties agree that the provision in the Proprietary Information and Inventions Agreement prohibiting Shalaby from soliciting and hiring the Company's current and former officers, employees and
consultants is superceded by the provisions in clauses (b) and (c) of Paragraph 9 above. 

        18.    Return of Property.    Shalaby agrees, without reservation, to and give unconditional assurance to the Company
that he has returned to the Company any and all documents, materials and information related to the business, whether present or otherwise, of the Company or its affiliated companies, and all copies,
and all keys and other property of the Company or its affiliated companies in his possession or control. Recognizing that Shalaby's employment with the Company has terminated, Shalaby agrees that he
will not, for any purpose, attempt to access or use any computer or computer network or system of the Company without limitation, its electronic mail system, provided, however, that this provision is
not intended to prevent Shalaby from sending electronic mail to persons with electronic mail addresses provided by or through Company electronic mail system. 

        19.    Testimony Under Oath.    The parties agree that no truthful testimony given under oath by a party to this
Agreement shall be considered a breach of any provision of this Agreement. 

        20.    Complete Agreement.    This Agreement sets forth the entire Agreement between the parties and supersedes any
and all prior agreements or understandings, written or oral, between the parties pertaining to the subject matter of this Agreement. 

6

 

        21.    Personal Mail.    For a period of ninety (90) days following the Effective Date, the Company will cause
personal mail to be forwarded to Shalaby at such address as he may from time to time designate. The Company shall arrange that in response to personal telephone inquiries received by the Company
relating to Shalaby, the Company shall state that Shalaby is no longer employed by the Company and direct such callers to Shalaby (at such telephone number as he may supply from time to time). 

        22.    Severability.    If any part of this Agreement shall be determined to be illegal invalid or unenforceable, the
remaining parts of the Agreement will not be affected thereby and any such illegal, invalid or unenforceable part shall not be deemed to be a part of this Agreement. 

        23.    Applicable Law.    This Agreement shall be construed according to the laws of the State of California. 

        24.    Effectuation of Intent.    Each of the parties agrees to execute any and all documents necessary to effectuate
the intent and purposes of this Agreement. Each party agrees that it has signed this Agreement voluntarily and with a full understanding of its terms and that the party has had the full and sufficient
opportunity to consider this Agreement before signing it. 

        25.    Counterparts.    This Agreement may be executed in counterparts. 

        26.    Waiver; Amendment.    The waiver by either party of any default or breach of this Agreement shall not
constitute a waiver of any other or subsequent default or breach. This Agreement may not be modified or amended except in writing signed by a duly authorized representative of each party; no other
act, document, usage or custom shall be deemed to amend or modify this Agreement. 

        27.    Expiration of this Agreement.    The parties agree that so long as neither party is in breach of this Agreement
forty-eight (48) months after the Effective Date, each party's obligations set forth this Agreement shall expire (the "Expiration Date"); provided, however, that (a) the parties' rights
and
obligations under the Proprietary Information and Inventions Agreement shall not expire and (b) the releases set forth in Paragraph 12 above shall not expire. In the event that Shalaby
pays the remaining balance of the Promissory Note prior to the second anniversary date of the Effective Date, then such payment will cause an acceleration of the Expiration Date of this Agreement to
the date of such payment. 

        IN
WITNESS WHEREOF, the Company and Shalaby have caused this Agreement to be duly executed as of the Effective Date. 

	SAMEER SHALABY	 	TENFOLD CORPORATION
	

 	
 	

By:	
 	

 
	
	 	 	 	

	 	 	Name:	 	 
	 	 	 	 	

	 	 	Title:	 	 
	 	 	 	 	

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QuickLinks

EXHIBIT 10.28

CONFIDENTIAL SEPARATION AGREEMENT

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