Document:

EX-10.7

 

Exhibit 10.7

HARRIS INTERACTIVE INC.

RESTRICTED STOCK AGREEMENT

(Non-Employee Director – For Grants Made After 5/1/07))

     This Agreement is made effective on                     , between HARRIS INTERACTIVE INC., a
Delaware Corporation (the “Company”), and                                          (“Participant”).

     WHEREAS, the Company maintains the Harris Interactive Inc. Long-Term Incentive Plan (the
"Plan”), which is incorporated into and forms a part of this Agreement, and

     WHEREAS, the Participant has been selected by the committee administering the Plan (the
"Committee”) to receive a Restricted Stock Award under the Plan;

     NOW, THEREFORE, IT IS AGREED, by and between the Company and the Participant, as follows:

     1. Award.

          (a) Grant. The Participant is hereby granted                     shares (the “Restricted
Stock”) of the Company’s common stock, par value $.001 per share (“Stock”), which shall be issued
as hereinafter provided in Participant’s name subject to certain restrictions thereon. Participant
hereby accepts the Restricted Stock subject to the terms and conditions of this Agreement.

          (b) Plan Incorporated. Participant acknowledges receipt of a copy of the Plan and
agrees that this award of Restricted Stock shall be subject to all of the terms and conditions set
forth in the Plan, including future amendments thereto, if any, pursuant to the terms thereof,
which Plan is incorporated herein by reference as a part of this Agreement.

     2. Risk of Forfeiture (“Forfeiture Restrictions”).

          (a) Forfeiture Due to Termination of Service. Subject to Section 3(b), should either
a Date of Termination or a violation of Section 7 occur prior to any of the vesting dates provided
in Section 3, Participant shall forfeit the right to receive the Restricted Stock that would
otherwise have vested on such respective dates.

          (b) Restrictions on Transfer. Neither the Restricted Stock nor any of it may be
voluntarily or involuntarily sold, assigned, pledged, exchanged, hypothecated or otherwise
transferred, encumbered or disposed of until such time as the restrictions contained in Section 2
lapse as to the applicable Restricted Stock and it is fully vested. Upon any violation of this
restriction, the Restricted Stock not theretofore vested shall be forfeited.

 

 

     3. Lapse of Forfeiture Restrictions.

          (a) Vesting. Subject to Section 2, ___of the Restricted Stock shall vest on each
of                                         .

          (b) Change in Control. If a Change in Control (as defined in the Plan) shall occur,
then immediately all non-vested Restricted Stock, not previously forfeited, shall fully vest and
all Forfeiture Restrictions with respect to such shares shall lapse.

          (c) Delivery of Certificates. Restricted Stock with respect to which the forfeiture
restrictions have lapsed shall cease to be subject to any restrictions except as provided in
Section 4(c), and the Company shall deliver to Participant a certificate representing the shares as
to which the Forfeiture Restrictions have lapsed.

     4. Custody of Restricted Stock.

          (a) Custody. One or more certificates evidencing the Restricted Stock shall be issued
by the Company in Participant’s name, or at the option of the Company, in the name of a nominee of
the Company. The Company may cause the certificate or certificates to be delivered upon issuance
to the Secretary of the Company or to such other depository as may be designated by the Committee
as a depository for safekeeping until forfeiture occurs or the Forfeiture Restrictions lapse
pursuant to the terms of the Plan and this Agreement. Upon request of the Committee, Participant
shall deliver to the Company a stock power, endorsed in blank, relating to the Restricted Stock
then subject to the Forfeiture Restrictions.

          (b) Additional Securities as Restricted Stock. Any securities received as the result
of ownership of Restricted Stock, including without limitation, warrants, options, and securities
received as a stock dividend or stock split, or as a result of a recapitalization or reorganization
(all such securities to be considered “Restricted Stock” for all purposes under this Agreement),
shall be held in custody in the same manner and subject to the same conditions as the Restricted
Stock with respect to which they were issued. Participant shall be entitled to direct the Company
to exercise any warrant or option received and considered Restricted Stock hereunder upon supplying
the funds necessary to do so, in which event securities so purchased shall constitute Restricted
Stock. In the event any Restricted Stock at any time consists of a security by its terms or
otherwise convertible into or exchangeable for another security at the election of the older
thereof, Participant may exercise such right of conversion or exchange in the event the failure to
exercise or delay in exercising such right would result in its loss or diminution of value, and any
securities so acquired shall be deemed Restricted Stock. In the event of any change in
certificates evidencing Restricted Stock by reason of any recapitalization, reorganization or other
transaction which results in a creation of Restricted Stock the Company is authorized to deliver to
the issuer the certificate evidencing the Restricted Stock in exchange for a replacement
certificate, which shall be deemed to be Restricted Stock.

          (c) Delivery to Participant. Upon the lapse of the Forfeiture Restrictions without
forfeiture, the Company shall cause certificate(s) for the vested Restricted Stock to be issued in
the name of Participant in exchange for the certificate evidencing the previously

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Restricted Stock. Notwithstanding any other provisions of this Agreement, the issuance or delivery
of any shares of Stock (whether subject to restrictions or unrestricted) may be postponed for such
period as may be required to comply with applicable requirements of any national securities
exchange or any requirements of any regulation applicable to the issuance or delivery of such
shares. The Company shall not be obligated to issue or deliver any shares of Stock if the issuance
or delivery thereof shall constitute a violation of any provision of any law or of any regulation
of any governmental authority or any securities exchange.

     5. Status of Stock.

          (a) Rights as Stockholder. Subject to the restrictions contained herein, the
Participant shall have all voting and ownership rights applicable to the Restricted Stock,
including the right to receive dividends, whether or not such Restricted Stock is vested and unless
and until the Restricted Stock is forfeited pursuant to the provisions of this Agreement.

          (b) Compliance with Securities Laws. Participant agrees that the Restricted Stock
will not be sold or otherwise disposed of in any manner which would constitute a violation of any
applicable federal or state securities laws. Participant also agrees (i) that the legend or
legends as the Committee deems appropriate in order to assure compliance with applicable securities
laws may be applicable to the Restricted Stock, (ii) that the Company may refuse to register the
transfer of the Restricted Stock on the stock transfer records of the Company if such proposed
transfer would in the opinion of counsel satisfactory to the Company constitute a violation of any
applicable securities law, and (iii) that the Company may give related instructions to its transfer
agent, if any, to stop registration of the transfer of the Restricted Stock.

     6. Relationship to Company.

     (a) The existence of this Restricted Stock Agreement shall not affect in any way the right or
power of the Company or its stockholders to make or authorize any or all adjustments,
recapitalizations, reorganization or other changes in the Company’s capital structure or its
business, or any merger or consolidation of Company or any issue of bonds, debentures, preferred or
prior preference stock ahead of or affecting the Restricted Stock or the rights thereof, or the
dissolution or liquidation of the Company, or any sale or transfer of all or any part of its assets
or business, or any other corporate act or proceeding , whether of a similar character or
otherwise.

     (b) No Guarantee of Service. This Restricted Stock Agreement shall not confer upon
Participant any right with respect to continuance of service on the Board of Directors of the
Company, nor shall it interfere in any way with any right the Company, or its directors or
stockholders, would otherwise have to terminate such Participant’s service at any time.

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     7. Non-Competitive Agreement.

     (a) Restricted Activity.

          (i) Participant agrees that during the term of Participant’s service as a director,
Participant shall not, directly or indirectly, as a director, officer, employee, agent, partner or
equity owner (except as owner of less than 4.9% of the shares of the publicly traded stock of a
corporation which Participant does not have in fact the power to control or direct) of any entity,
or in any other manner directly or indirectly engage in any activity or business competitive in any
manner with the activities or business of the Company.

          (ii) For a period of one year after the date (the “Termination Date”) on which Participant no
longer serves as a director of the Company (irrespective of the reason for termination of such
service), with respect to any services, products, or business pursuits competitive with those of
the Company, Participant shall not, directly or indirectly, whether as a director, officer,
employee, consultant, agent, partner, equity owner of any entity (except as owner of less than 4.9%
of the shares of the publicly traded stock of a corporation which Participant does not have in fact
the power to control or direct), participant, proprietor, manager, operator, independent
contractor, representative, advisor, trustee, or otherwise, solicit or otherwise deal in any way
with any of the clients or customers of the Company:

               (A) with whom Participant in the course of service as a director of the Company acquired a
relationship or had dealings,

               (B) with respect to whom Participant in the course of service as a director of the Company was
privy to material or proprietary information, or

               (C) with respect to whom Participant was otherwise directly involved in the course of service
as a director of the Company.

Such clients and customers include any client or customer to whom the Company sold services or
products in the two years prior to the Termination Date, any prospective client or customer of the
Company for whom a proposal was prepared or to whom any other marketing presentation was made
within the year prior to the Termination Date, or any prospective client or customer for whom
pursuit was actively planned by the Company within the year prior to Termination and in respect of
whom the Company has not determined to cease such pursuit.

          (iii) For a period of one year after the Termination Date, Participant shall not (including
without limitation on behalf of, for the benefit of, or in conjunction with, any other person or
entity) directly or indirectly:

               (A) solicit, assist, discuss with or advise, influence, induce or otherwise encourage in any
way, any employee of Company to terminate such employee’s relationship with Company for any reason,
or assist any person or entity in doing so,

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               (B) employ, assist, engage or otherwise contract or create any relationship with any employee
or former employee of Company in any business or venture of any kind or nature, in the case of a
former employee unless such person shall not have been employed by Company for a period of at least
one year and no solicitation prohibited hereby shall have occurred prior to the end of such one
year period, or

               (C) interfere in any manner with the relationship between any employee and Company.

     (b) Remedies. Participant acknowledges that the Company’s legal remedies for a breach
of this Section 7 shall be inadequate, and that without limitation of Company’s rights to any other
remedy at law or equity available to it, the Company (i) shall be entitled to obtain injunctive
relief to enforce this provision, and (ii) shall be entitled to cancel any rights under this
Agreement, and (iii) shall be entitled to recover from the Participant any Stock granted hereunder,
whether or not vested, or if such Stock has been transferred or sold, an amount equal to the value
thereof, and such Stock and the proceeds thereof shall be held in a constructive trust for the
purposes of enforcement hereof. The Company’s rights to enforce this Agreement shall survive any
vesting and/or forfeiture of rights hereunder. If any part of this Section 7 shall be deemed
illegal or unenforceable, this section shall be deemed modified and then enforced to the greatest
extent legally enforceable.

     8. Committee’s Powers. No provision contained in this Agreement shall in any way
terminate, modify or alter, or be construed or interpreted as terminating, modifying or altering
any of the powers, rights or authority vested in the Committee pursuant to the terms of the Plan,
including, without limitation, the Committee’s rights to make certain determinations and elections
with respect to the Restricted Stock.

     9. Binding Effect. This Agreement shall be binding upon and inure to the benefit of
any successors and assigns of the Company and all persons lawfully claiming under Participant.

     10. Counterparts. This Agreement may be executed in two or more counterparts, each of
which shall be deemed an original and all of which together shall constitute one instrument.

     11. Governing Law. This Agreement shall be governed by, and construed in accordance
with, the laws of the State of Delaware.

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     IN WITNESS WHEREOF , the Company has caused this Agreement to be duly executed by an officer
thereunto duly authorized, and Participant has executed this Agreement, all effective as of the
date of first above written.

	 	 	 	 	 	 	 
	HARRIS INTERACTIVE INC.	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	By:

	 	 	 	 	 	(Participant)
	 

	 	 

	 	 	 	 
	Title:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 

6EX-10.8

 

Exhibit 10.8

EMPLOYMENT AGREEMENT

     EMPLOYMENT AGREEMENT (“Agreement”) effective as of April 30, 2007 (the “Effective
Date”) between HARRIS INTERACTIVE INC., a Delaware corporation (“Company”), and Gregory T. Novak
(“Executive”).

     This Agreement amends, restates, and replaces in its entirety the Amended and Restated
Employment Agreement between Company and Executive dated as of September 25, 2005 (collectively,
the “Prior Agreement”); provided, however, that all rights of Executive to payments and benefits
under Sections 3.1 — 3.7, inclusive, of the Prior Agreement accrued but unpaid as of the Effective
Date shall survive execution of this Agreement. This Agreement does not modify the terms of any
stock option agreements between the Company and the Executive in effect on the Effective Date,
which stock option agreements shall remain unchanged and in full force according and subject to the
terms contained therein.

1. CAPACITY AND DUTIES

     1.1 Employment; Acceptance of Employment. Company hereby employs Executive and
Executive hereby accepts employment by Company for the period and upon the terms and conditions
hereinafter set forth.

     1.2 Capacity and Duties.

          (a) Executive shall serve as the President and Chief Executive Officer of the Company.
Executive shall perform duties and shall have authority as may from time to time be specified by
the Board of Directors of Company (the “Board”). Executive’s title and duties may be changed from
time to time by the Board; provided, however, that (i) Executive’s position, authority, duties, and
responsibilities shall be no less senior and executive in nature than those customarily performed
by a chief executive officer, and (ii) the duties assigned to the Executive shall be in all
respects consistent with all applicable laws and regulations. Executive shall perform his duties
for Company principally at Company’s executive offices, presently in Rochester, New York, provided,
however, that Executive acknowledges and agrees that travel to Company’s and its affiliates’
various offices, and to other locations in furtherance of Company’s business, will be required in
connection with the performance of Executive’s duties hereunder. Executive will report to the
Board of Directors of the Company(or a duly authorized committee thereof).

          (b) Executive shall devote full time efforts to the performance of Executive’s duties
hereunder, in a manner that will faithfully and diligently further the business and interests of
Company.

          (c) Executive is a member of the Board of Directors of Harris as of the Effective Date. Prior
to the Termination Date and prior to any Change of Control, the Board of Directors shall nominate
Executive for re-election as a director at each annual meeting of
stockholders coinciding with the expiration of his term as a director, and shall recommend him

 

 

for re-election, but the failure of the stockholders to elect Executive as a member of the Board of
Directors shall not constitute a breach of this Agreement. Unless otherwise requested by the Board
of Directors, Executive will resign as a director on the Termination Date and upon his failure to
do so hereby authorizes and grants full authority to the Chairman of the Board of Directors to
deliver Executive’s resignation on his behalf.

          (d) Executive acknowledges that Company’s reputation is important in the continued success of
its business, and agrees that he will not discuss or comment in such a manner as may adversely
impact the reputation or public perception, or otherwise disparage, Company or its officers,
employees, or directors in any manner; provided, however, that Executive may make such disclosures
as may be required by law. Company acknowledges that Executive’s reputation is important to his
continued success. Company agrees that it will not, and that it will use all reasonable efforts to
cause its officers, employees, and directors not to, defame, disparage, or otherwise discuss or
comment about Executive in such a manner as may adversely impact his reputation or public
perception; provided, however, that Company may make such disclosures as may be required by law.

2. TERM OF EMPLOYMENT

     2.1 Term.

          (a) The term of Executive’s employment hereunder, for all purposes of this Agreement, shall
commence on the Effective Date (the “Commencement Date”) and continue through and including the
earliest to occur of (i) June 30, 2008, if and as further extended to subsequent June 30ths as
provided in Section 2.1(b), (ii) the date on which Executive dies, and (iii) the date on which
either the Company or Executive terminates Executive’s employment for any reason (collectively, the
“Termination Date”).

          (b) Except as hereinafter provided, on each June 30 this Agreement shall be automatically
extended for an additional one-year term, and if so extended shall be automatically extended for
successive additional one-year terms, unless either the Executive or Company shall have given the
other written notice of non-renewal of this Agreement on or before the March 31 immediately prior
to the end of the initial one-year term, or if applicable any one-year extension term then in
effect. Executive’s employment under this Agreement shall terminate on the June 30 immediately
following the date of any timely non-renewal notice.

3. COMPENSATION

     3.1 Base Compensation. As compensation for Executive’s services, Company shall pay to
Executive base compensation in the form of salary (“Base Compensation”) in the amount of $500,000
per annum. The salary shall be payable in periodic installments in accordance with Company’s
regular payroll practices for its executive personnel at the time of payment, but in no event less
frequently than monthly. The Compensation Committee of the Board shall review Base
Compensation periodically for the purpose of determining, in its sole discretion, whether Base
Compensation should be adjusted; provided, however, that Executive’s Base Compensation shall not be
less than $500,000.

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     3.2 Performance Bonus. As additional compensation for the services rendered by
Executive to Company Executive shall be paid a performance bonus (“Performance Bonus”) payable in
full at the same time as payment of other executive bonuses by the Company but no later than two
and one-half (2.5) months after the end of the applicable fiscal year. The Performance Bonus award
criteria and amounts shall be those established on an annual basis by the Compensation Committee of
the Board of Directors of the Company based upon performance guidelines established for executive
officers of the Company; provided, however, Executive’s target bonus shall not be less than
$250,000. No bonus will be due in the event that award criteria established by the Compensation
Committee are not met.

     3.3 Employee Benefits. Executive shall be entitled to participate in such of
Company’s employee benefit plans and benefit programs as may from time to time be provided by
Company for its senior executives generally. Company shall have no obligation, however, to
maintain any particular program or level of benefits referred to in this Section 3.3.

     3.4 Vacation. Executive shall be entitled to the normal and customary amount of paid
vacation provided to senior executive officers of the Company, but in no event less than 20 days
during each calendar year. Any vacation days that are not taken in a given calendar year shall
accrue and carry over from year to year, or be paid or lost, according to the Company’s standard
vacation policies. The Executive may be granted leaves of absence with or without pay for such
valid and legitimate reasons as the Board of Directors in its sole and absolute discretion may
determine, and is entitled to the same personal days and holidays provided to other senior
executives the of Company.

     3.5 Expense Reimbursement.

          (a) Company shall reimburse Executive for all reasonable and documented expenses incurred by
Executive in connection with the performance of Executive’s duties hereunder in accordance with its
regular reimbursement policies as in effect from time to time.

          (b) The Company shall reimburse the Executive for reasonable costs up to a maximum of $2,500
incurred in the negotiation of this Employment Agreement.

     3.6 Term Life Insurance. In addition to the Company-paid life insurance made
available to senior executives of the Company generally, the Company shall provide Executive with
$600,000 face value of term life insurance. Upon the request of the Executive made in
connection with a Termination Date, the Company shall take all reasonable steps to provide
Executive the right to continue such life insurance at his own expense after the Termination Date.

     3.7 Withholding. All payments under this Agreement shall be subject to any required
withholding of Federal, state and local taxes pursuant to any applicable law or regulation.

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4. TERMINATION OF EMPLOYMENT

     4.1 Accrued Obligations. For purposes of this Agreement:

          (a) “Accrued Base Obligations” shall mean amounts for Base Compensation, expense
reimbursement, and employee benefits which have accrued, vested, and are unpaid as of the
Termination Date.

          (b) “Accrued Bonus Obligations” shall mean, for the year in which the Termination Date occurs,
a prorated Performance Bonus for the partial-year period ending on the Termination Date (the
“Partial Period”). The prorated Performance Bonus shall be based on the same metrics as then in
effect for calculation of bonuses on an annual basis (for example, net earnings or revenues) and
shall be calculated by (1) dividing actual performance as of the end of the Applicable Calculation
Quarter (described below) by budgeted performance (per the budget previously approved by the Board)
for the Applicable Calculation Quarter, and then (2) using the resulting percentage in determining
the dollar value bonus that would have been paid under the Company’s executive performance bonus
plan had such percentage performance been achieved for the full fiscal year, and then (3)
multiplying the result by a fraction, the numerator of which is the number of days elapsed in the
fiscal year prior to the Termination Date and the denominator of which is 365. If the Termination
Date is in the first half of a fiscal quarter the “Applicable Calculation Quarter” is the fiscal
quarter most recently ended before the Termination Date, and if the Termination Date is in the
second half of a fiscal quarter, the Applicable Calculation Quarter is the first fiscal quarter
ending after the Termination Date.

          (c) Accrued Base Obligations shall be paid within thirty (30) days after the Termination Date.
Accrued Bonus Obligations shall be paid on the date on which they would have been paid under this
Agreement absent the occurrence of the Termination Date.

     4.2 Termination Procedures. Except as otherwise provided in this Agreement, any
termination of Executive’s employment by the Company or by Executive (other than termination
pursuant to death) shall be communicated by written Notice of Termination to the other party
hereto. For purposes of this Agreement, a “Notice of Termination” shall mean a notice which shall
indicate the specific termination provision in this Agreement relied upon and, if applicable, shall
set forth in reasonable detail the facts and circumstances claimed to provide a basis for
termination of Executive’s employment under the provision so indicated.

     No Notice of Termination of Executive for Cause shall be given by the Company unless and until
(i) adoption by the Board of Directors of Harris of a resolution, finding that in the good faith
opinion of the Board of Directors Executive is guilty of the conduct described in the definition of
Cause, after at least five (5) business days notice is provided to Executive, such notice to
include in reasonable specificity the alleged conduct justifying such termination for Cause, and
(ii) an opportunity is given to Executive, together with counsel, to be heard by the Board of
Directors of Harris at a meeting (which may be held by telephonic conference call). This Section
4.2 shall not prevent Executive from challenging, pursuant to Section 6.1, the Board’s
determination that Cause exists, or that Executive has failed to cure any act (or failure to act),
to the extent permitted by this Agreement, that purportedly formed the basis for the Board’s
determination.

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     4.3 Death of Executive. If Executive dies, Company shall not be obligated to make any
further payments under this Agreement except amounts for:

          (a) Accrued Base Obligations,

          (b) earned but unpaid Performance Bonus for fiscal years already ended, payable on the date on
which such Performance Bonus would be paid absent Executive’s death, and,

          (c) if Executive’s death is in the Company’s third or fourth fiscal quarter, Accrued Bonus
Obligations.

     4.4 Disability of Executive. If Executive is permanently disabled (as defined in
Company’s long-term disability insurance policy then in effect), then the Board shall have the
right to terminate Executive’s employment upon 15 days’ prior written notice to Executive at any
time during the continuation of such disability (“Disability”). In the event Executive’s
employment is terminated for Disability in accordance with this Section 4.4, Company shall not be
obligated to make any further payments under this Agreement except for:

          (a) Accrued Base Obligations,

          (b) earned but unpaid Performance Bonus for fiscal years ended prior to the Termination Date,
payable on the date on which such Performance Bonus would be paid absent Executive’s Disability,
and,

          (c) Accrued Bonus Obligations.

          (d) amounts equal to Base Compensation through and including (i) the 15-month anniversary of
his termination if his termination occurs on or before June 30, 2007, (ii) the 18-month anniversary
of his termination if his termination occurs between July 1, 2007 and June 30, 2008, and (iii) the
24-month anniversary of his termination if his termination occurs on or after July 1, 2008, in each
case payable at the same times as paid under Section 3.1, and

          (e) health and medical benefits as required by Section 3.3 of this Agreement during the same
period that Base Compensation is due under Section 4.4(d); provided, however, if Executive,
Executive’s spouse or Executive’s dependents are ineligible to participate in the Company benefit
programs under Section 3.3, the Company shall arrange to reimburse Executive for coverage
reasonably comparable to that previously provided under Section 3.3;

provided, however, the Company’s obligation to make such payments shall be reduced by an amount
equal to the amount which the Executive is entitled to receive during the same period under the
Company’s disability insurance policies.

     4.5 Termination for Cause.

          (a) Executive’s employment shall terminate immediately upon a Notice of Termination from the
Company that Executive is being terminated for Cause (as defined herein),

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in which event Company
shall not thereafter be obligated to make any further payments under this Agreement except for:

               (i) Accrued Base Obligations,

               (ii) earned but unpaid Performance Bonus for fiscal years ended prior to the Termination Date,
payable on the date on which such Performance Bonus would be paid absent the termination of
Executive, and

               (iii) if the Termination Date occurs in the Company’s third or fourth fiscal quarter, Accrued
Bonus Obligations.

          (b) “Cause” shall be limited to the following:

               (i) willful failure to substantially perform Executive’s duties as described in Section 1.2
after demand for substantial performance is delivered by Company in writing that specifically
identifies the manner in which Company believes Executive has not substantially performed
Executive’s duties and Executive’s failure to cure such non-performance within thirty (30) days
after receipt of the Company’s written demand; provided, however, that a failure to perform such
duties during the remedy period set forth in subsection (i) of the definition of Good Reason set
forth in Section 4.7 hereof, following the issuance of a Notice of Termination (as herein defined)
by Executive for Good Reason, shall not be Cause unless an arbitrator acting pursuant to Section
6.1 hereof finds Executive to have acted in bad faith in issuing such Notice of Termination;

               (ii) willful conduct that is materially and demonstrably injurious to Company or any of its
subsidiaries, but not including good faith conduct taken without intention to injure the Company or
its subsidiaries that, at the time engaged in, could not reasonably be expected to be more likely
than not to be materially injurious to the Company; or

               (iii) conviction or plea of guilty or nolo contendere to a felony or to any other crime which
involves moral turpitude or, if not including moral turpitude, arises from an act that is
materially and demonstrably injurious to the Company or any of its subsidiaries;

               (iv) material violation of Section 5 of this Agreement,

               (v) or material violation of Company polices set forth in Company manuals or written
statements of policy provided in the case of violation of policy that such violation is either
materially and demonstrably injurious to Company or, if curable, continues for more then three (3)
days after written notice thereof is given to Executive by the Company; and

               (vi) material breach of any material provision of this Agreement by Executive, which breach
continues for more than ten (10) days after written notice thereof is given by the Company to
Executive.

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     4.6 Termination Without Cause or by Executive for Good Reason.

          (a) The Company reserves the right to terminate Executive’s employment at any time. If,
however, a Termination Date occurs due to Company terminating Executive without Cause or Executive
terminating for Good Reason, then Company shall have no further obligations under this Agreement
except that Company shall pay to Executive the amounts shown in Section 4.6(c).

          (b) For the avoidance of doubt, Section 4.6(c) shall not apply to (i) termination in the
ordinary course on any applicable June 30 if the term of this Agreement is not automatically
renewed, which circumstance is covered by Section 4.6(d), (ii) termination for Cause which
circumstance is covered by Section 4.5, (iii) termination by Executive without Good Reason which
circumstance is covered by Section 4.7, (iv) termination by reason of death which circumstance is
covered by Section 4.3, or (v) termination by reason of Disability which circumstance is covered by
Section 4.4.

          (c) If Company terminates Executive without Cause or Executive terminates with Good Reason,
then the Company shall pay to Executive:

               (i) the Accrued Base Obligations through the Termination Date, payable promptly after the
Termination Date,

               (ii) any unpaid Performance Bonus earned for any fiscal year ended on or before the
Termination Date payable on the date on which such Performance Bonus would be paid absent
termination,

               (iii) Accrued Bonus Obligations,

               (iv) amounts equal to Base Compensation through and including (A) the 15-month anniversary of
his termination if his termination occurs on or before June 30, 2007, (B) the 18-month anniversary
of his termination if his termination occurs between July 1, 2007
and June 30, 2008, and (C) the 24-month anniversary of his termination if his termination
occurs on or after July 1, 2008, in each case payable at the same times as paid under Section 3.1,
and

               (v) health and medical benefits as required by Section 3.3 of this Agreement during the same
period that amounts equal to Base Compensation are due under Section 4.6(c)(iv); provided, however,
if Executive, Executive’s spouse or Executive’s dependents are ineligible to participate in the
Company benefit programs under Section 3.3, the Company shall arrange to reimburse Executive for
coverage reasonably comparable to that previously provided under Section 3.3, and further provided
that such benefits shall become secondary to primary coverage upon the date or dates Executive
receives coverage and benefits which are substantially similar, taken as a whole, without waiting
period or pre-existing condition limitations, under the plans and programs of a subsequent
employer.

     (d) If this Agreement is terminated in the ordinary course on any applicable June 30 because
of a non-renewal notice given by the Company under Section 2.1, then Company shall have no further
obligations under this Agreement except that Company shall pay to Executive the same payments as to
which the Executive would be entitled under Section

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4.6(c)(i), (ii), (iv), and (v). If this
Agreement is terminated in the ordinary course on any applicable June 30 because of a non-renewal
notice given by the Executive under Section 2.1, then Company shall have no further obligations
under this Agreement except that Company shall pay to Executive the payments to which the Executive
would be entitled under Section 4.6(c)(i) and (ii).

     4.7 Termination by Executive without Good Reason.

          (a) Executive may terminate this Agreement without Good Reason upon fifteen (15) days prior
notice. In the event Executive’s employment is voluntarily terminated by Executive without Good
Reason, Company shall not be obligated to make any further payments to Executive hereunder other
than:

               (i) Accrued Base Obligations through the Termination Date,

               (ii) earned but unpaid Performance Bonus for fiscal years ended prior to the Termination Date,
payable on the date on which such Performance Bonus would be paid absent Executive’s termination,
and

               (iii) if the Termination Date occurs in the Company’s third or fourth fiscal quarter, Accrued
Bonus Obligations.

          (b) “Good Reason” shall mean the following:

               (i) material breach of Company’s obligations hereunder, including any assignment of duties not
included within the Executive’s duties described in Section 1.2 unless previously agreed to in
writing by Executive, provided that Executive shall have given reasonably specific written notice
thereof to Company, and Company shall have failed to remedy the circumstances within thirty (30)
days thereafter;

               (ii) any decrease in Executive’s salary as it may have increased during the term of this
Agreement, except for decreases that are in conjunction with decreases in executive salaries by the
Company generally and that do not result in a decrease in Executive’s annual salary below $500,000
per annum;

               (iii) any decrease of Executive’s target Performance Bonus below $250,000,

               (iv) any relocation of the principal office from which Executive’s duties are performed to a
location more than 50 miles outside of Rochester, New York, provided, however, that travel to
Company’s and its affiliates’ various offices and to other locations in furtherance of Company’s
business will be required in connection with the performance of Executive’s duties hereunder and
requirements for such travel shall not constitute Good Reason, or

               (v) the failure of any successor in interest of the Company to be bound by the terms of this
Agreement in accordance with Section 6.4 hereof.

8

 

Notwithstanding subsections (i) and (iii) above, after a Change of Control, Good Reason shall not
include a change of title, reporting line, responsibilities, and duties so long as such changed
title, reporting line, and reassignment of executive duties are at a level commensurate with the
level of participation of the Company in the controlling person (such as, for example, executive
duties at a divisional, subsidiary, or group level, if the Company becomes a division, subsidiary,
or group within the controlling person), or assignment of other duties not materially inconsistent
with duties appropriate for a past chief executive officer; provided, that following such Change in
Control, Executive remains the highest ranking employee of such division, subsidiary or group
within the controlling person.

          (c) Executive must provide a Notice of Termination to the Company that he is intending to
terminate his employment for Good Reason within one hundred and eighty (180) days after Executive
has actual knowledge of the occurrence of the latest event he believes constitutes Good Reason,
which termination notice shall specify a termination date within thirty (30) days after the date of
such notice except for termination under subsection (i) in which case the termination date shall be
as provided in such subsection. Executive’s right to terminate Executive’s employment hereunder
for Good Reason shall not be affected by Executive’s subsequent Disability provided that the notice
of intention to terminate is given prior to the onset of such Disability. Subject to compliance by
Executive with the notice provisions of this Section 4.7, Executive’s continued employment prior to
terminating employment for Good Reason shall not constitute consent to, or a waiver of rights with
respect to, any act or failure to act constituting Good Reason. In the event Executive delivers to
the Company a Notice of Termination for Good Reason, upon request of the Board Executive agrees to
appear before a meeting of the Board called and held for such purpose (after reasonable notice) and
specify to the Board the particulars as to why Executive believes adequate grounds for termination
for Good Reason exist. No action by the Board, other than the remedy of the circumstances within
the time periods specified in this Section 4.7, shall be binding on Executive.

     4.8 Mitigation. Executive shall not be required to mitigate amounts payable under this Section 4 by seeking
other employment or otherwise, and there shall be no offset against amounts due Executive under
this Agreement on account of subsequent employment except as specifically provided herein.

     4.9 Change of Control.

          (a) If Executive is terminated without Cause, a Termination Date occurs on a June 30 due to
non-renewal by the Company of the term of this Agreement under Section 2.1, or Executive terminates
his employment for Good Reason, in each such case during the one year period following a Change of
Control (as defined below), then in addition to payments and benefits to which Executive is
entitled under Section 4.6, Executive also shall receive (i) reimbursement for reasonable (in the
discretion of the Company) and actual expenses incurred by Executive for six months of
out-placement services, and (ii) Base Compensation pursuant to Section 4.6(c)(iv) and benefits
pursuant to Section 4.6(c)(v) through and including the 24-month anniversary of his termination
even if his termination occurs before July 1, 2008.

          (b) If a Change of Control shall have occurred:

9

 

               (i) after such Change of Control Executive’s entitlement to Bonus under Section 3.2 may be
modified by the new controlling Person in a reasonable manner (not to afford Executive with
materially less opportunity to earn bonus than existed prior to the Change of Control) so that such
Bonus is calculated with reference to a performance-based bonus plan provided by the new
controlling Person; and

               (ii) after such Change of Control Executive’s entitlement to payments and benefits under
Sections 3.3 and 3.4 may be modified by the new controlling Person to entitlement to those benefits
generally provided to senior executives of the new controlling Person.

          (c) A “Change of Control” shall be deemed to have occurred if:

               (i) a change in control has occurred of a nature that would be required to be reported in a
proxy statement with respect to the Company (even if the Company is not actually subject to said
reporting requirements) in response to Item 6(e) (or any comparable or successor Item) of Schedule
14A of Regulation 14A promulgated under the Securities Exchange Act of 1934, as amended (the
“Exchange Act”), except that any merger, consolidation or corporate reorganization in which the
owners of the Company’s capital stock entitled to vote in the election of directors (the “Voting
Stock”) prior to said combination receive 75% or more of the resulting entity’s Voting Stock shall
not be considered a change in control for the purposes of this Plan;

               (ii) any “person” (as that term is used in Sections 13(d) and 14(d)(2) of the Exchange Act,
excluding any stock purchase or employee stock ownership plan maintained by the Company or a
Related Company) becomes the “beneficial owner” (as that term is defined by the Securities and
Exchange Commission for purposes of Section 13(d) of the Exchange Act), directly or indirectly, of
more than 15% of the outstanding voting stock of the Company or its successors; or

               (iii) during any period of two consecutive years a majority of the Board of Directors no
longer consists of individuals who were members of the Board of Directors at the beginning of such
period, unless the election of each director who was not a director at the beginning of the period
was approved by a vote of at least 75% of the directors still in office who were directors at the
beginning of the period.

          (d) In connection with, or within one year after, a Change of Control, if all or any portion
of the payments or other benefits paid or payable to Executive under this Agreement and under any
other plan, program or agreement of the Company or its affiliates are determined to constitute an
excess parachute payment within the meaning of Section 280G of the Internal Revenue Code of 1986,
as it may have been or may be amended on or after the date of this Agreement (the “Code”), and
results in the imposition on Executive of an excise tax under Section 4999 of the Code, then, in
addition to any other benefits to which Executive is entitled under this Agreement, Harris shall
pay to Executive an amount equal to the sum of (i) the excise tax payable by Executive by reason of
receiving excess payments; and (ii) a gross-up amount necessary to offset any and all applicable
federal, state, and local excise, income, or other taxes incurred by Executive by reason of
Harris’s payment of the excise tax described in (i) above (but

10

 

not including any additional amount
to offset any taxes on the excise tax reimbursement or gross-up amount paid pursuant to this
subclause (ii)).

     4.10 Effect of Section 409A. Notwithstanding anything to the contrary contained
herein, in the event that (i) Executive notifies the Company, or the Company notifies Executive, in
either case prior to the date on which a payment would otherwise be due under this agreement that
Executive (or the Company, as applicable) believe that (x) the operation of this Agreement with
respect to any such payment hereunder would fall within the coverage of Section 409A(a)(1) of the
Internal Revenue Code (“IRC”) and (y) any payment hereunder is to be made on account of IRC Section
409A(a)(2)(A)(i) and Executive is a “specified employee” pursuant to IRC Section 409A(a)(2)(B)(i)
then (ii) if Executive’s legal counsel and the Company’s legal counsel, in each case acting
reasonably, agree that the foregoing analysis is correct, then such payment shall not be made until
the date which is the earlier of the date of Executive’s death and the date which is six (6) months
after the date of separation from service (the Termination Date).

     4.11 Precondition to Post-Termination Payments. As a condition for the payment of any
post-Termination Date benefits to be provided hereunder except for Accrued Base Obligations, earned
but unpaid Performance Bonus for fiscal years ended prior to the Termination Date, and Accrued
Bonus Obligations, Executive shall deliver to the Company a release in favor of the Company in the
form attached hereto as Exhibit A.

5. NON-COMPETITION AND CONFIDENTIALITY

     5.1 Non-Competition.

          (a) Consideration for this Section. Executive acknowledges and agrees that:

               (i) the benefits, including in particular and without limitation those obligations under
Section 4.6(b)(iv), afforded by this Agreement are over and above those otherwise afforded by
Company policy, and in making its decision to offer Executive the
benefits afforded by this agreement and bind itself in advance to the obligations hereunder
the Company relied upon and was induced by the covenants made by Executive in this Section 5,

               (ii) in accepting the benefits evidenced by this Agreement Executive is receiving an asset of
significant value, and Company’s entry into this Agreement and its incurrence of the related
payment and other obligations hereunder are fair and adequate consideration for the Executive’s
obligations under this Section 5,

               (iii) Executive’s position with the Company places Executive in a position of confidence and
trust with the clients and employees of the Company,

               (iv) the Company’s business is carried on throughout the world and accordingly, it is
reasonable that the restrictive covenants set forth below are not limited by specific geographic
area,

               (v) the course of Executive’s employment with the Company necessarily requires the disclosure
of confidential information and trade secrets related to the Company’s relationships with clients
(such as, without limitation, pricing information, marketing

11

 

plans, budgets, designs,
methodologies, products, client preferences and policies, and identity of appropriate personnel of
clients with sufficient authority to influence a shift in suppliers) as well as other confidential
and proprietary information, (such as databases, methodologies, and technologies),

               (vi) Executive’s employment affords Executive the opportunity to develop a personal
acquaintanceship and relationship with the Company’s employees and clients, which in some cases may
constitute the Company’s primary or only contact with such employees and clients, and to develop a
knowledge of those client’s and employee’s affairs and requirements,

               (vii) the Company’s relationships with its established clientele and employees are placed in
Executive’s hands in confidence and trust,

               (viii) it is reasonable and necessary for the protection of the goodwill and business of the
Company that Executive make the covenants contained in this agreement, and

               (ix) the Executive understands that the provisions of this Section 5 may limit Executive’s
ability to earn a livelihood in a business similar or related to the business of Company, but
nevertheless agrees and acknowledges that (A) the provisions of Section 5 are reasonable and
necessary for the protection of Company, and do not impose a greater restraint than necessary to
protect the goodwill or other business interest of Company, (B) such provisions contain reasonable
limitations as to the time and the scope of activity to be restrained, and (C) the Company’s
advance agreement to make payments under the various circumstances set forth in this Agreement
provide Executive with benefits adequate to fully compensate Executive for any lost opportunity due
to the operation of Section 5.

In consideration of the foregoing and in light of Executive’s education, skills and abilities,
which are sufficient to enable Executive to earn a living in way that is not competitive with the
Company’s business, Executive agrees that all defenses by Executive to the strict enforcement of
such provisions are hereby waived by Executive.

     5.2 Restricted Activity.

          (a) During the period that Executive is employed by the Company, and for the period fifteen
(15) months after the Termination Date, or if longer, the period during which the Company has
continuing obligations to make payments to Executive pursuant to Section 4.6(c)(iv) (the
“Non-Competition Period”), Executive shall not, directly or indirectly, own, manage, operate, join,
control, participate in, invest in or otherwise be connected or associated with, in any manner,
including, without limitation, as an officer, director, employee, distributor, independent
contractor, independent representative, partner, consultant, advisor, agent, proprietor, trustee or
investor, any Competing Business (defined below); provided, however, that ownership of 4.9% or less
of the stock or other securities of a corporation, the stock of which is listed on a national
securities exchange shall not constitute a breach of this Section 5, so long as the Executive does
not in fact have the power to control, or direct the management of, or is not otherwise engaged in
activities with, such corporation.

12

 

          (b) For purposes of this Section 5.2, the term “Competing Business” shall mean any business or
venture which is substantially similar to the whole or any significant part of the business
conducted by Company, and which is in material competition with the Company, and the term
“Affiliate” of any person or entity shall mean any other person or entity directly or indirectly
controlling, controlled by or under common control with such particular person or entity, where
“control” means the possession, directly or indirectly, of the power to direct the management and
policies of a person or entity whether through the ownership of voting securities, contract, or
otherwise.

          (c) During the Non-Competition Period, Executive shall not (including without limitation on
behalf of, for the benefit of, or in conjunction with, any other person or entity) directly or
indirectly:

               (i) solicit, assist, discuss with or advise, influence, induce or otherwise encourage in any
way, any employee of Company to terminate such employee’s relationship with Company for any reason,
or assist any person or entity in doing so,

               (ii) employ, assist, engage or otherwise contract or create any relationship with any employee
or former employee of Company in any business or venture of any kind or nature, in the case of a
former employee unless such person shall not have been employed by Company for a period of at least
one year and no solicitation prohibited hereby shall have occurred prior to the end of such one
year period, or

               (iii) interfere in any manner with the relationship between any employee and Company.

     5.3 Confidential Information.

          (a) “Confidential Information” shall mean all proprietary or confidential records and
information, including, but not limited to, development, marketing, purchasing,
organizational, strategic, financial, managerial, administrative, production, distribution and
sales information, distribution methods, data, specifications, technologies, methods, and processes
(including the Transferred Property as hereinafter defined) presently owned or at any time
hereafter developed by Company, or its agents, consultants, or otherwise on its behalf, or used
presently or at any time hereafter in the course of the business of Company, that are not otherwise
part of the public domain.

          (b) Executive hereby sells, transfers and assigns to Company, or to any person or entity
designated by Company, all of Executive’s entire right, title and interest in and to all
inventions, ideas, methods, developments, disclosures and improvements (the “Inventions”), whether
patented or unpatented, and copyrightable material, and all trademarks, trade names, all goodwill
associated therewith and all federal and state registrations or applications thereof, made, adopted
or conceived by solely or jointly, in whole or in part prior to the Termination Date which (i)
relate to methods, apparatus, designs, products, processes or devices sold, leased, used or under
construction or development by Company or (ii) otherwise relate to or pertain to the business,
products, services, functions or operations of the Company (collectively, the “Transferred
Property”). Executive shall make adequate written records of all Inventions, which

13

 

records shall
be Company’s property and shall communicate promptly and disclose to Company, in such forms Company
requests, all information, details and data pertaining to the aforementioned Inventions. Whether
during the term of this Agreement or thereafter, Executive shall execute and deliver to Company
such formal transfers and assignments and such other papers and documents as may be required of
Executive to permit Company, or any person or entity designated by Company, to file and prosecute
patent applications (including, but not limited to, records, memoranda or instruments deemed
necessary by Company for the prosecution of the patent application or the acquisition of letters
patent in the United states, foreign counties or otherwise) and, as to copyrightable material, to
obtain copyrights thereon, and as to trademarks, to record the transfer of ownership of any federal
or state registrations or applications.

          (c) All Confidential Information is considered secret and will be disclosed to the Executive
in confidence, and Executive acknowledges that, as a consequence of Executive’s employment and
position with Company, Executive may have access to and become acquainted with Confidential
Information. Except in the performance of Executive’s duties as an employee of Company, Executive
shall not, during the term and at all times thereafter, directly or indirectly for any reason
whatsoever, disclose or use any such Confidential Information. All records, files, drawings,
documents, equipment and other tangible items (whether in electronic form or otherwise), wherever
located, relating in any way to or containing Confidential Information, which Executive has
prepared, used or encountered or shall in the future prepare, use or encounter, shall be and remain
Company’s sole and exclusive property and shall be included in the Confidential Information. Upon
termination of this Agreement, or whenever requested by Company, Executive shall promptly deliver
to Company any and all of the Confidential Information and copies thereof, not previously delivered
to Company, that may be in the possession or under the control of the Executive. The foregoing
restrictions shall not apply to the use, divulgence, disclosure or grant of access to Confidential
Information to the extent, but only to the extent, (i) expressly permitted or required pursuant to
any other written agreement between Executive and Company, (ii) such Confidential Information has
been publicly disclosed (not due to a breach by the Executive of Executive’s obligations hereunder,
or by breach of any
other person, of a fiduciary or confidential obligation to Company) or (iii) the Executive is
required to disclose Confidential Information by or to any court of competent jurisdiction or any
governmental or quasi-governmental agency, authority or instrumentality of competent jurisdiction,
provided, however, that the Executive shall, prior to any such disclosure, immediately notify
Company of such requirements and provided further, however, that the Company shall have the right,
at its expense, to object to such disclosures and to seek confidential treatment of any
Confidential Information to be so disclosed on such terms as it shall determine.

     5.4 Acknowledgement; Remedies; Survival of this Agreement.

          (a) Executive acknowledges that violation of any of the covenants and provisions set forth in
Section 5 of this Agreement would cause Company irreparable damage and agrees that Company’s
remedies at law for a breach or threatened breach of any of the provisions of this Section 5 would
be inadequate and, in recognition of this fact, in the event of a breach or threatened breach by
Executive of any of the provisions of this Agreement, it is agreed that, in addition to the
remedies at law or in equity, Company shall be entitled, without the

14

 

posting of a bond, to
equitable relief in the form of specific performance, a temporary restraining order, temporary or
permanent injunction, or any other equitable remedy which may then be available for the purposes of
restraining Executive from any actual or threatened breach of such covenants. Without limiting the
generality of the foregoing, if Executive breaches or threatens to breach this Section 5 hereof,
such breach or threatened breach will entitle Company (i) to terminate its obligations to make
further payments otherwise required under this Agreement, (ii) to recover from the Executive any
payments previously made under Section 4.6(b)(iv), (iii) to extend the Non-Competition Period by a
period equal to the period in which Executive was in violation of this Section 5, and (iv) to
enjoin Executive from disclosing any Confidential Information to any Competing Business, to enjoin
any Competing Business from retaining Executive or using any such Confidential Information, and to
enjoin Executive from rendering personal services to or in connection with any Competing Business,
it being understood that the embedded knowledge of Executive gained at the Company will be
impossible to separate from the performance of duties for a Competing Business. The rights and
remedies hereunder are cumulative and shall not be exclusive, and the Company shall be entitled to
pursue all legal and equitable rights and remedies and to secure performance of the obligations and
duties of the Executive under this Agreement, and the enforcement of one or more of such rights and
remedies by the Company shall in no way preclude the Company from pursuing, at the same time or
subsequently, any and all other rights and remedies available to it.

          (b) The provisions of this Section 5 shall survive the termination of Executive’s employment
with Company.

6. MISCELLANEOUS

     6.1 Arbitration. Any dispute or controversy arising under or in connection with this
Agreement shall be settled exclusively by arbitration in Rochester, New York, in accordance with
the Commercial Arbitration Rules of the American Arbitration Association then in effect. Judgment
may be
entered on the arbitrator’s award in any court having jurisdiction. The parties consent to
the authority of the arbitrator, if the arbitrator so determines, to award fees and expenses
(including legal fees) to the prevailing party in the arbitration. Notwithstanding the foregoing,
Company shall be entitled to enforce the provisions of Section 5 hereof through proceedings brought
in a court of competent jurisdiction as contemplated by Section 6.7 hereof.

     6.2 Severability; Reasonableness of Agreement. If any term, provision or covenant of
this Agreement or part thereof, or the application thereof to any person, place or circumstance
shall be held to be invalid, unenforceable or void by an arbitrator or court of competent
jurisdiction, the remainder of this Agreement and such term, provision or covenant shall remain in
full force and effect, and any such invalid, unenforceable or void term, provision or covenant
shall be deemed, without further action on the part of the parties hereto, modified, amended and
limited, and the arbitrator or court shall have the power to modify, amend and limit any such term,
provision or covenant, to the extent necessary to render the same and the remainder of the
Agreement valid, enforceable and lawful.

     6.3 Key Employee Insurance. Company in its sole discretion shall have the right at
its expense to purchase insurance on the life of Executive, in such amounts as it shall from time
to time determine, of which Company shall be the beneficiary. Executive shall submit to such

15

 

physical examinations as may reasonably be required and shall otherwise cooperate with Company in
obtaining such insurance.

     6.4 Assignment; Benefit. This Agreement shall not be assignable by Executive, other
than Executive’s rights to payments or benefits hereunder, which may be transferred only by will or
the laws of descent and distribution. Upon Executive’s death, this Agreement and all rights of
Executive hereunder shall inure to the benefit of and be enforceable by Executive’s beneficiary or
beneficiaries, personal or legal representatives, or estate, to the extent any such person succeeds
to Executive’s interests under this Agreement. No rights or obligations of Company under this
Agreement may be assigned or transferred except to any successor to the Company’s business and/or
assets (by merger, purchase of stock or assets, or otherwise) which, to the extent not otherwise
automatically provided by operation of law, expressly assumes and agrees to perform this Agreement
in the same manner and to the same extent that Company would be required to perform if no such
succession had taken place.

     6.5 Notices. All notices hereunder shall be in writing and shall be deemed
sufficiently given (i) if hand-delivered, on the date of delivery, (ii) if sent by documented
overnight delivery service, on the first business day after deposit with such service for overnight
delivery, and (iii) if sent by registered or certified mail, postage prepaid, return receipt
requested, on the third business day after deposit in the U.S. mail, in each case addressed as set
forth below or at such other address for either party as may be specified in a notice given as
provided herein by such party to the other. Any and all service of process and any other notice in
any such action, suit or proceeding shall be effective against any party if given as provided in
this Agreement; provided that nothing
herein shall be deemed to affect the right of any party to serve process in any other manner
permitted by law.

     If to Company:

Harris Interactive Inc.

135 Corporate Woods

Rochester, New York 14623

Attention: Chief Executive Officer

     With A Copy To:

Beth Ela Wilkens, Esq.

Harris Beach PLLC

99 Garnsey Road

Pittsford, New York 14534

     If to Executive:

Gregory T. Novak

4964 Hillcrest Drive

Canandaigua, New York 14424

16

 

     With A Copy To:

Gordon S. Dickens, Esq.

Woods Oviatt Gilman LLP

700 Crossroads Building

2 State Street

Rochester, New York 14614

     6.6 Entire Agreement; Modification. This Agreement constitutes the entire agreement
between the parties hereto with respect to the matters contemplated herein and supersedes all prior
agreements and understandings with respect thereto. No amendment, modification, or waiver of this
Agreement shall be effective unless in writing. Neither the failure nor any delay on the part of
any party to exercise any right, remedy, power or privilege hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any right, remedy, power or privilege preclude
any other or further exercise of the same or of any other right, remedy, power, or privilege with
respect to such occurrence or with respect to any other occurrence.

     6.7 Governing Law. This Agreement is made pursuant to, and shall be construed and
enforced in accordance with, the laws of the State of Delaware and the federal laws of the United
States of America, to the extent applicable, without giving effect to otherwise applicable
principles of conflicts of law. Subject to Section 6.1 of this Agreement, the parties hereto
expressly consent to the jurisdiction
of any state or federal court located in the State of New York, and to venue therein, and
consent to the service of process in any such action or proceeding by certified or registered
mailing of the summons and complaint therein directed to Executive or Company, as the case may be,
at its address as provided in Section 6. hereof.

     6.8 Prevailing Party. Should either party breach the terms of this Agreement, the
prevailing party who seeks to enforce the terms and conditions of this Agreement shall be entitled
to recover its attorneys fee and disbursements.

     6.9 Headings; Counterparts; Interpretation.

          (a) The headings of paragraphs in this Agreement are for convenience only and shall not affect
its interpretation.

          (b) This Agreement may be executed in two or more counterparts, each of which shall be deemed
to be an original and all of which, when taken together, shall be deemed to constitute the same
Agreement.

          (c) The Company and the Executive each acknowledge that it has been represented by legal
counsel in the negotiation and drafting of this Agreement, that this Agreement has been drafted by
mutual effort, and that no ambiguity in this Agreement shall be construed against either party as
draftsperson.

     6.10 Further Assurances. Each of the parties hereto shall execute such further
instruments and take such other actions as the other party shall reasonably request in order to
effectuate the purposes of this Agreement.

17

 

     IN WITNESS WHEREOF, this Agreement has been executed and delivered as of the date first above
written.

[Signature Page Follows]

18

 

	 	 	 	 	 
	HARRIS INTERACTIVE INC.	 	 
	 
	 	 	 	 
	By:

	 	/s/ George Bell	 	 
	 

	 	 

George Bell
	 	 
	 

	 	Chairman of the Board	 	 
	 
	 	 	 	 
	/s/ Gregory T. Novak	 	 
	 	 	 
	Gregory T. Novak	 	 

1

 

EXHIBIT A

RELEASE

     In consideration of the benefits provided under an Employment Agreement (“Agreement”)
effective as of                      by and between Gregory T. Novak (“Executive”) and Harris Interactive
Inc. (“Harris”), Executive hereby releases Harris and its employees, officers, directors,
attorneys, affiliates, subsidiaries, successors and assigns, from any and all claims, causes of
action, and/or liabilities of any kind or nature whatsoever, known or unknown, at law, in equity,
or otherwise, that may have occurred at any time up to the date hereof, arising from his employment
relationship with Harris or as a result of the parties’ agreement to modify and end the employment
relationship, including, without limitation, any and all claims arising under any federal, state or
local laws, rules or regulations pertaining to employment or pay or benefit practices, including,
but not limited to, claims under the Age Discrimination in Employment Act, Older Workers’ Benefit
Protection Act, Equal Pay Act, Title VII of the Civil Rights Act of 1964, as amended, Fair Labor
Standards Act, Americans with Disabilities Act, the Employee Retirement Income Security Act
(ERISA), Family and Medical Leave Act (FMLA), New York State Human Rights Law, New York Labor Law
and any other provisions relating to employment or pay or benefit practices, or relating to
discrimination on the basis of race, creed, color, age, sex, national origin, disability, or arrest
record, and Executive hereby agrees not to asset such claims or causes of action for monetary
damages; provided, however, that Executive is not releasing any claims other than those expressly
released hereby. Without limiting the foregoing proviso, Executive is not releasing any claims (i)
arising from or relating to the breach of the Agreement or any document executed in connection
therewith, or breach of any agreement covering equity grants (stock options, restricted stock, or
otherwise) made to Executive prior to the date hereof, (ii) arising from or relating to any rights
Executive may have to indemnity or contribution in connection with actions, proceedings, or
investigations, (iii) to enforce vested rights under pension, benefit, or insurance plans,
policies, programs or arrangements, or (iv) arising out of or relating to Executive’s status as a
director or shareholder of Harris.

     In the event that Executive brings a claim which is determined by a court of law to have been
released by the terms of this Release, he understands and agrees that, unless otherwise expressly
prohibited by law or regulation, he will be required to reimburse the defending parties for their
reasonable attorneys’ fees in connection with their defense of any such claim.

     Executive acknowledges that he has been advised to consult with legal counsel prior to signing
this Release. Executive further understands and agrees that he is being provided with twenty-one
(21) calendar days after his Termination Date (as defined in the Agreement) to consider the terms
of this Release, and that this Release will expire and become null and void if it is not executed
and returned before the end of the twenty-one (21) calendar-day period. Executive further
understands and agrees that he shall have the right to execute this Release at any time before the
expiration of the twenty-one (21) calendar-day period, and that if he does so, he agrees that he
has thereby waived the remainder of that twenty-one (21) day period. Finally, Executive
acknowledges and agrees that after executing this Release, he has the right to revoke his
acceptance of this Release by delivering a written revocation within seven (7) calendar days after
his execution of the Release, provided such revocation is received within said seven (7) day period
by legal counsel for Harris: Beth Ela Wilkens, Harris Beach PLLC, 99 Garnsey Road, Pittsford, New
York, 14534. This Release shall become effective only after it has been executed

1

 

by Executive and only after the seven (7) day revocation period has expired without revocation
by Executive.

          IN WITNESS WHEREOF, Executive has executed and delivered this Release as of the date shown
below.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Gregory T. Novak
	STATE OF                     

	 	)	 	 	 	 
	 

	 	)SS.:
	 	 
	COUNTY OF                     

	 	)	 	 	 	 

     On the ___ day of                      in the year 20___ before me, the undersigned, a notary public in
and for said state, personally appeared Gregory T. Novak, personally known to me or proved to me on
the basis of satisfactory evidence to be the individual whose name is subscribed to the within
instrument and acknowledged to me that he executed the same in his capacity, and that by his
signature on the instrument, the individual executed the instrument.

	 	 	 
	 

	 	 
	 

	 	Notary Public

2

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