Document:

redsun_8k-ex1002.htm

Exhibit 10.2

 

MARKETING AND SALES AGREEMENT

 

This AGREEMENT is made and entered into this 30th day of July, 2009 by and between
The Amacore Group, Inc. a Delaware Corporation, with offices at 450 N Keller Rd, Maitland, Florida 32751 (“Amacore”) and Zurvita, Inc., a Delaware Corporation, with offices at 800 Gessner Rd, Suite 110, Houston, Texas, 77024 (“Zurvita”).

WHEREAS, AMACORE was primarily founded to be a provider and marketer of healthcare-related products (the “Amacore Products”);

WHEREAS, Zurvita is the wholly owned subsidiary of Amacore and is the seller of certain products (the “Zurvita Products”) as well as certain Amacore Products through the use of independent marketing representatives.  A list of the Amacore Products and the Zurvita products that utilize the Amacore
Benefits (as hereinafter defined) that are sold through Zurvita’s sales representatives (the “Products”) is attached hereto as Schedule A;

WHEREAS, AMACORE and Zurvita desire to enter into an agreement under which Zurvita will continue to sell the Products through its various marketing techniques, including the use of independent marketing representatives;

NOW THEREFORE, in consideration of the mutual covenants and agreements of the parties herein contained and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereby agree as follows:

I ADVERTISING & MARKETING

	
1.01  
	
Services of AMACORE: AMACORE will provide merchant processing services to Zurvita in accordance with the “per-transaction charges” as detailed in Schedule B.  In addition, monthly accounting support, access to accounting software and assistance with the preparation and
filing of documents required by the  Securities and Exchange Commission reporting requirements will be provided by Amacore at a fee of $13,000 per month.  Amacore will also continue to provide benefits being used within Zurvita products as well as any benefits utilized in any future Zurvita product at cost plus 15% (the “Amacore Benefits”).  For purposes of this Agreement, the “Amacore Benefits” will include the benefits attributed to each of the Products
as set forth on Schedule A.

Zurvita’s Services: Zurvita will continue to utilize Amacore Benefits for those Zurvita’s products currently utilizing the Amacore Benefits and being actively marketed by Zurvita representatives.  Zurvita will offer Amacore a right
of first refusal to provide the Amacore Benefits for future Zurvita products. Zurvita will have the right of first refusal on all new Amacore products to sell through its network of independent marketing representatives.  Zurvita will have ten business days from the date it is first notified of a new Amacore product to respond to Amacore in writing of its decision to sell the new Amacore product. Zurvita will be responsible for all credit card processing fees and will be responsible for the payment
of all refunds, charge-backs and or/fines associated with such sales.

II. ZURVITA’S OBLIGATIONS

2.01            Indemnification: (a) Zurvita agrees to indemnify AMACORE forthwith on demand and hold AMACORE harmless against any and all expenses, damages and losses of any kind (including reasonable
legal fees and costs) incurred by AMACORE in connection with any claims, actual or threatened, of any kind (including, without limitation, breach of contract, any claim of trademark or copyright infringement, libel, defamation, breach of confidentiality, false or misleading advertising or sales practices) arising from the advertisement and/or any material of the Zurvita to which users  are subjected too and any other contract entered into
for the purchase of the advertised goods or services.

(b)            Zurvita will defend or settle at its own expense any action or other proceedings brought against AMACORE that relates to the advertisements and/or any material of the Zurvita to which users are exposed.. AMACORE shall notify the Zurvita promptly
of any such claim and shall permit the Zurvita to assume and control the defense of such action with Counsel chosen by the Zurvita (who shall be reasonably acceptable to AMACORE) and shall not enter into any settlement or compromise of any such claim without AMACORE  prior written consent. The Zurvita shall pay any and all proper costs, damages and expenses (including but not limited to reasonable legal fees and costs) awarded against or incurred
by AMACORE in any such action or proceedings.

 

 

 

 

2.02   Insurance: Zurvita shall carry at all times during the time that the Products are offered and sold. Commercial General Liability Insurance with a minimum of $2,000,000 per occurrence for bodily injury and/or property damage liability, said insurance to cover, liability arising from personal injury/advertising
injury, products liability and/or contractual liability. All insurance policies shall be issued by insurance carriers licensed to do business in New York and which have an AM. Best rating of A VIII or better. AMACORE shall be named as additional insured on all insurance policies listed above and required hereunder. Insurance policies which are secured by Zurvita pursuant to this Agreement shall be “occurrence” type policies and shall not be ‘claims made” policies. All Certificates of insurance
shall provide evidence of the type of policies being provided. Such insurance policies shall also provide that they may not be canceled or non-renewed without the insurance carrier endeavoring to provide thirty (30) days written notice to the AMACORE. Zurvita shall furnish AMACORE with certificates of such insurance within thirty (30) days after the execution of this Agreement.

2.03   Merchant Reserve Deposit – AMACORE has previously funded Zurvita an aggregate amount of $115,333 to secure merchant processing services with Paymentech.  When Paymentech
releases the $115,333 reserve (the “Reserve”), to Zurvita, Zurvita will remit to Amacore the Reserve within five (5) business days of Zurvita’s receipt thereof.

III. LIMITATION OF LIABILITY

3.01            AMACORE will not be liable, in contract, tort (including, without limitation, negligence), pre-contract or other representations (other than fraudulent or negligent misrepresentations)
or otherwise arising out of or in connection with these terms and conditions for any economic losses (including without limitation loss of revenues, profits, contracts, business or anticipated savings); or any loss of goodwill or reputation; or any special or indirect or consequential losses; in any case whether or not such losses were within the contemplation by either party at the date on which the event giving rise to the loss occurred, suffered or incurred by a party arising out of or in connection with the
provisions of any matter contained in this Agreement. In particular, and without limitation, the Zurvita acknowledges that AMACORE will not be liable for such losses whether arising from a failure to publish an advertisement, or from the inaccuracy of any data contained in any advertisements (whether such inaccuracy arises from any action, or failure to act, of AMACORE, Zurvita or a third party).

3.02            Subject to the above, the liability of AMACORE in contract, tort, negligence, pre-contract or other representations or otherwise arising out of or in connection with these terms and conditions or the performance or observance of its obligations
under this Agreement, and every applicable part of them shall be limited to the amendment of any inaccurate data in accordance with Section 3 above or in the event that AMACORE fails to electronically publish an advertisement, Zurvita’s sole remedy and AMACORE’s entire liability to the Zurvita shall be limited at AMACORE’s option to either a refund of the advertising fee or relevant portion thereof, or placement of the advertisement at another time in a comparable position.

3.03            Zurvita acknowledges that any website on which an advertisement is displayed is provided on an ‘as is and ‘as available” basis without any representation or endorsement. AMACORE makes no warranties of any kind, whether express
or implied, in relation to such website, including but not limited to, implied warrants of satisfactory quality, fitness for a particular purpose, non-infringement, compatibility, security. accuracy, condition or completeness, or any implied warranty arising from course of dealing or usage or trade or that the Websites will meet any requirements or will be uninterrupted, timely, secure or error-free, that defects will be corrected, or that the Websites or the server that makes it available are free of viruses
or bugs or are fully functional, accurate, or reliable.

3.04           AMACORE shall have the right to hold Zurvita or its agent liable for such monies as are due and payable for advertising which the Zurvita or its agent ordered and which advertising was published and displayed.

 

 

 

 

3.05            AMACORE is not liable for delays in delivery and/or non-delivery in the event of any situation beyond the control of AMACORE.

3.06            No conditions other than those set forth in the insertion order or this shall be binding unless expressly agreed to in writing. In the event of any inconsistency between the insertion order and this Agreement, this Agreement shall prevail.

IV. CONFIDENTIALITY

4.01            Restriction on Use of Confidential Information: (a) None of the parties hereto shall, during the term of this Agreement or at any time thereafter, communicate, divulge or use for
the benefit of any other person, persons, partnership, association, corporation or entity any of another party’s confidential information, knowledge or know-how, A party hereto shall divulge such information only to such of its employees, financial advisors and legal representatives as must have access thereto in order to satisfy its obligations hereunder. All parties shall take all necessary precautions to ensure that their employees retain such information in confidence,

(b)            Any and all information, knowledge or know-how concerning the operation, products, services, procedures, policies, plans, strategies or customers of AMACORE and/or Zurvita shall be deemed confidential for purposes of this Agreement: provided. however,
the parties shall not be required to treat any information as confidential information under this section if such information: (i) was publicly known at the time it was disclosed or becomes publicly known after disclosure without breach hereof by the receiving party; (ii) was known by the receiving party at the time of disclosure or becomes known to it from a part other than tile disclosing party who has the apparent right to disclose such information to the receiving party’s knowledge after due injury;
(iii) is independently developed by the receiving party without reliance on the disclosed confidential information: (iv) is approved for disclosure by the disclosing party with the disclosing party’s prior written consent; or (v) is disclosed by the receiving party pursuant to judicial order, requirement of a governmental agency or other operation of law, provided that the receiving party informs the disclosing party promptly after receiving notice of its obligation to make such disclosure and takes reasonable
steps to limit the scope

V. TERM, TERMINATION & MISCELLANEOUS

5.01            Term: The term of this Agreement (the “Term”) shall commence effective on the date hereof and shall continue for a period of five years (the “Initial Period”)
unless sooner terminated, as provided herein.  This Agreement shall automatically extend for subsequent one year periods (the “Renewal Periods”) provided, however, each party shall have the right to terminate this Agreement at the end of the Initial Period or the Renewal Periods by providing written notice to the other party not later than 60 calendar days prior to the end of the Initial Period or Renewal Periods.

5.02   Termination of Agreement. This Agreement may be terminated by either party if the other party materially breaches this Agreement (which breach shall include the filing of a voluntary
or involuntary bankruptcy petition against a party or the appointment of a receiver for any of the assets of a party) or any other agreements the parties have entered into. If such a breach occurs, the non-breaching party shall provide the breaching party with written notice of the breach, including specific details regarding the nature of the breach, The non-breaching party’s obligations under this Agreement shall be suspended when such notice is provided and will not be resumed until the breach is cured;
provided, however, that all payments under this Agreement which were due before or on the date of receipt of the written notice of breach, shall be made, If the breaching party does not cure tile breach within thirty (30) days of receipt of notice of the breach, then the non-breaching party may provide the breaching party with written notice of the termination of this Agreement.

5.03   Entire Agreement; Amendment. This Agreement constitutes the entire Agreement between the parties and supersedes all prior agreements. understandings and representations relating to
the subject matter, This Agreement may only be amended, modified or supplemented by a written agreement between AMACORE and Zurvita,

5.04   Governing Law. This Agreement shall be governed by and construed ill accordance with the laws of the State of New York, without regard to conflict of laws principles.  Litigation
regarding any dispute arising out of this Agreement shall be brought in a court of competent jurisdiction located in New York. New York and Zurvita consents to the jurisdiction of such court and to the service of process by mail.

 

 

 

 

5.05   Assignment. This Agreement or any part hereof shall not be assigned or otherwise transferred by either party without the prior written consent of the other party, which consent shall not be unreasonably withheld

5.06   Relationship of the Parties, The relationship of AMACORE and Zurvita under this Agreement shall be that of independent contractors and nothing herein or in any related document
or representation shall be construed to create or imply any relationship of employment, agency, partnership or any other relationship other than that of independent contractors, AMACORE and Zurvita acknowledge and agree that each is engaged in a separate and independent business and neither shall state, represent or imply any interest in or control over the business of the other.

5.07   Force Majeure. Neither party shall be in breach of this Agreement if any obligations required to be performed hereunder are postponed or delayed because of an act of God, natural
disaster, catastrophe, accident, fire, labor dispute, lockout, strike, riot or civil commotion, act of public enemy, governmental act, regulation or rule, failure of technical facilities, a day of national mourning, emergency or other circumstance or event beyond the control of the parties to this Agreement.

IN WITNESS WHEREOF, the parties have executed this Agreement by their duly authorized representatives as of the date first written above.

THE AMACORE GROUP, INC.

By: /s/ Jay Shafer                           

Name: Jay Shafer

Title: Chief Executive Officer

ZURVITA, INC.

By: /s/ Jay Shafer                          

Name: Jay Shafer

Title: Chief Executive Officer

 

 

 

 

Exhibit A – Products

Zurvita Care Saver – A personal discount program at restaurants, movie theaters, retailers, daily services, personal care and pet care providers.  Includes a virtual mall featuring a cash back program and 30 minutes free access to a phone conceirge
service.  The Amacore Benefits included in the Product are the following:

VIR

Phoneternet

Access Dev

Pet Assure

Zurvita Health – A membership program that combines benefits and services for access to discounted medical services.  The Amacore Benefits included in the Product are the following:

TelaDoc

HealthTrans

EyeMed

DXL

Beltone

Karis

Zurvita Protection – A program offering services that protect against today’s most common legal issues and security concerns.  Includes legal assistance, tax preparation, credit restoration, ID theft assistance and roadside assistance.  The
Amacore Benefits included in the Product are the following:

Legal Club

Halo Management

NationalSafe Dr.

Zurvtia Tech – A program that provides technical support and assistance with computer problems on a 24/7 basis. The Amacore Benefit included in the Product is the following:

Ocenture

Zurvtia Home Guard – A home warranty program protecting members against costly repairs and replacement on a wide variety of home appliances.  The Amacore Benefit included in the Product is the following:

Universal Administration

 

 

 

 

Exhibit B -  Merchant Processing Fee

	
Per MasterCard and Visa SALES RECORD
	 	$0.40	 
	
Per Discover Settled SALES RECORD
	 	$0.40	 
	
Per American Express Card SALES RECORD
	 	$0.40	 
	
Per MCI, and VISA, CPU (Central Processing Unit) Authorization
	 	$0.07	 
	
Per Discover Settled CPU (Central Processing Unit) Authorization
	 	$0.08	 
	
Per American Express CPU (Central Processing Unit) Authorization
	 	$0.08	 
	
Per NetConnect Fee
	 	
TBD
	 
	
Per NetConnect Monthly Fee
	 	
TBD
	 
	
Per Paymentech Gateway Transaction
	 	
TBD
	 
	
Monthly Paymentech Gateway Fee (per division)
	 	
TBD
	 
	
Per Point of Sale Terminal Item Authorized
	 	$0.08	 
	
Per Point of Sale Item Authorized Wireless
	 	$0.08	 
	
Per Point of Sale Item Authorized TCP/IP
	 	$0.08	 
	
Per Point of Sale Item Authorized Special/Misc.
	 	$0.08	 
	
Per Point of Sale Item Authorized Frame Relay
	 	$0.08	 
	
Per Point of Sale Item Authorized Lease Line
	 	$0.08	 
	
Per Point of Sale Item Authorized Netconnect TCP/IP
	 	
TBD
	 
	
Per Point of Sale Terminal Item Disposited
	 	$0.10	 
	
Per Voice Authorization
	 	$0.09	 
	
Per Voice AVS (Address Verification Service) Authorization
	 	$1.75	 
	
Per Voice Authorization Referral
	 	
No Charge
	 
	
Per Voice Referrals/Number of Minutes
	 	
$0.90/per min
	 
	
Per Audio Response Unit Authorization
	 	$0.65	 
	
Per MCI, and VISA CHARGEBACK Processed/Represented
	 	$20.00	 
	
Per Discover Settled CHARGEBACK Processed/Represented
	 	$20.00	 
	
Per MCI and VISA Collection, Pre-Arbitration & Compliance
	 	$20.00	 
	
Per Discover Settled Collection, Pre-Arbitration & Compliance
	 	$20.00	 
	
ACH (Automated Clearing House) Funds Transfer
	 	$2.50	 
	
Wire Funds Transfer
	 	$10.00	 
	
Monthly Fax/Mail Reporting Fee (if applicable)
	 	$50.00	 
	
Postage, Supplies, Equipment & Other Services
	 	
Charge as used
	 
	
Supplemental Products
	 	
Quoted as Requested
	 
	
Other Communication Services
	 	
Quoted as Requestedredsun_8k-ex1003.htm

Exhibit 10.3

EMPLOYMENT AGREEMENT

THIS EMPLOYMENT AGREEMENT (hereinafter referred to as the “Agreement”) made as of the Effective Date indicated below, by and among Mark Jarvis, an individual residing in Houston, TX  (hereinafter referred to as "Executive") and Red Sun
Mining, Inc., with offices in Santa Ana, (hereinafter referred to as "ZURVITA").

RECITALS

WHEREAS, ZURVITA desire to retain the services of Executive (a) to render Executive’s services to ZURVITA as ZURVITA President on the terms and conditions as more particularly set forth herein; and

WHEREAS, Executive is agreeable to rendering such services to ZURVITA on the terms and conditions set forth herein; and

NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and restrictions contained herein, and other valuable consideration, the receipt of which is hereby acknowledged, each of the Parties, their respective personal representatives, heirs,
successors and assigns, intending to be legally bound hereby agree as follows:

SECTION 1: Incorporation of Recitals

	 	
(a)
	
Incorporation of Recitals.  The above recitals are true and correct and are hereby incorporated herein by reference.

SECTION 2:  Employment Term, Duties and Acceptance.

	 	
(a)
	
ZURVITA hereby retains Executive for a period of two (2) years or such later date to which this Employment Agreement is otherwise extended or renewed by written instrument signed by both Parties, commencing on the date hereof (“Commencement Date”) (hereinafter referred to as the "Employment Period"),
to render his services to ZURVITA upon the terms and conditions herein contained.  Executive serve as ZURVITA’s Co-CEO, responsible for sales, marketing and downline/agent management and recruitment (“Co-CEO”).  As Co-CEO, Executive shall have the right and prerogative of using the title “CEO”.  Executive will report to and be responsible to ZURVITA’s Board of Directors and the Managing Co-CEO.  Executive shall work with the Managing Co-CEO, who will be
primarily responsible for ZURVITA’s administration, finance, and overall management (“Managing Co-CEO”), and who shall also report to and be responsible to the Board of Directors.  In cases where Executive and the Managing Co-CEO do not agree, the authority of the Managing Co-CEO shall take precedence.  Unless a new employment agreement is entered into by the parties, this Employment Agreement shall automatically be renewed for successive one (1) year periods unless either party notifies
the other in writing no later than ninety (90) days prior to the expiration of the Employment Period that this Employment Agreement will terminate upon expiration of the Employment Period.

	 	
(b)
	
Executive hereby accepts the foregoing employment and agrees to render his services to ZURVITA in such a manner as to reflect his best efforts.
In furtherance of Executive performing the duties assigned to him under this Agreement, ZURVITA agrees, at its own cost, to provide Executive with the funding, staff, products, and equipment reasonably requested by Executive so as to enable him to carry out such duties.

	
  
	
(c)
	
The Parties agree that Executive shall devote his full business time, attention and energies to the business of ZURVITA and shall not during the term of this Agreement enter into any other business activity that interferes with Executive’s duties and responsibilities for ZURVITA, unless approved in writing by ZURVITA. The foregoing notwithstanding, the Parties recognize and agree that Executive may engage in
personal investments, other business activities and civic, charitable or religious activities which do not conflict with the business and affairs of ZURVITA or interfere with Executive's performance of his duties hereunder.

 

 

 

 

 

	
  
	
(d)
	
Executive’s services shall be performed principally at ZURVITA headquarters in Houston, TX.  However, from time to time, Executive may also be required by his job responsibilities to travel on ZURVITA business, and Executive agrees to do so.

	
  
	
(e)
	
Executive shall have no authority to contractually or financially bind ZURVITA, except as within stated authorization limits set by the Managing Co-CEO and/or Board of Directors.

SECTION 3: Compensation

	
  
	
(a)
	
During the term of this Agreement, Executive shall receive annual compensation of four hundred eighty thousand dollars ($480,000.00) (“Base Salary”).  This compensation may, at Executive's election, be accrued, in whole or in part. Executive’s compensation shall be payable in accordance with the general payroll practices of ZURVITA, as are from time to time in effect, less such deductions
or amounts as shall be required to be withheld by applicable law or regulation.

	
  
	
(b)
	
Unless Executive is otherwise covered during the Employment Period, ZURVITA agrees on behalf of Executive to obtain and pay for ZURVITA’s standard health insurance policy afforded other executives of ZURVITA.

	
  
	
(c)
	
Executive shall be entitled to reasonable paid vacation time, sick leave and time to attend professional meetings comparable to that offered ZURVITA executives in comparable positions.  For the purposes of this Agreement, reasonable vacation time shall be deemed to mean four (4) weeks.

	 	
(d) 
	
ZURVITA shall promptly pay or reimburse Executive for reasonable professional expenses incurred in the performance of services under this Agreement during the Employment Period, upon presentation of expense statements, and subject to ZURVITA’s expense reimbursement policies and procedures.  Vouchers
or such other supporting documentation may reasonably be required.

	 	
(e) 
	
During the Employment Period, Executive shall be entitled to such health insurance and other benefits, as may be provided to other comparable executives at ZURVITA, in accordance with the policies, programs and practices of ZURVITA which are in effect from time to time after the effective date of this Agreement.

	 	
(f)
	
Within thirty (30) days of the execution of this Agreement, ZURVITA shall place into escrow one million eight hundred thousand six hundred twenty five (1,800,625)
shares of ZURVITA Class A common stock for Executive, pursuant to the Zurvita, Inc. 2009 Incentive Stock Plan, a copy of which has been provided to Executive, and will be subject to all of its terms and conditions. (“Initial Shares”).  In addition to the other terms and conditions that may be imposed by the Zurvita 2009 Incentive Stock Plan, any shares of Class A common stock granted pursuant to this Section 3(f) will be subject to a vesting period pursuant to which the shares of Class A
common stock will vest as follows: one (1) installment, representing nine hundred thousand six hundred twenty five (900,625) shares vested on the first anniversary of the Effective Date of this Agreement; and one (1) installment, representing nine hundred thousand (900,000) shares vested on the second anniversary of the Effective Date of this Agreement.  In the event of the termination of Executive’s employment, any unvested shares will be subject to forfeiture as provided in the applicable grant
documents.  The Company’s Audit Committee, or in the absence of the Audit Committee, the Board of Directors of the Company, shall reasonably determine whether or not the criteria set forth in this Section 3(f) for the grant of stock have been satisfied.

 

 

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(g)
	
The first six (6) months following the Effective Date of this Agreement shall be a “Start-Up Period”.  In the event that, for the first quarter ending after the Start-Up Period, (the “Measuring Quarter”), ZURVITA
is operationally cash flow positive, within thirty (30) days after ZURVITA files its Quarterly Report on Form 10-Q with the SEC (“Quarterly Report”) with respect to the Measuring Quarter, ZURVITA shall issue to Executive one million eight hundred thousand six hundred twenty five (1,800,625) shares of ZURVITA Class A common stock (“Performance Shares”), which Performance Shares, if issued on the Effective Date, would represent not less than five percent (5%) of the issued and outstanding
Class A Common Stock of the Company as of the Effective Date and as determined on a fully diluted basis.

Alternatively, for the two quarters ending six (6) months after Start-Up Period, (“Extended Measuring Quarters”), should the average ZURVITA monthly cash flow during the Extended Measuring Quarters, as documented on the monthly
cash flow statements, and verified in the Quarterly Report(s), be operationally cash flow positive, the Performance Shares shall be issued to Executive, as detailed herein.

ZURVITA makes no representation as to the percentage of Class A Common Stock Executive may own as of any date the Performance Shares may be issued. Any shares of Class A Common stock issued pursuant to this Section 3(g) will be issued pursuant to the Zurvita, Inc. 2009 Incentive Stock Plan and will be subject to all
of its terms and conditions.  In addition to the other terms and conditions that may be imposed by the Zurvita 2009 Incentive Stock Plan, any shares of Class A common stock granted pursuant to this Section 3(g) will be subject to a one (1) year vesting period pursuant to which the shares of Class A common stock will vest in one (1) equal installment on the first anniversary of the date on which the shares of Class A Common stock are granted pursuant to this Section 3(g).  In the event of the
termination of Executive’s employment, any unvested shares will be subject to forfeiture as provided in the applicable grant documents.  The Company’s Audit Committee, or in the absence of the Audit Committee the Board of Directors of the Company, shall reasonably determine whether or not the criteria set forth in this Section 3(g) for the grant of stock have been satisfied.

	 	
(h) 
	
Executive acknowledges and understands that (i) any grant of stock pursuant to Section 3(f) or 3(g) will result in taxable income to Executive; (ii) the shares of stock granted will constitute “restricted securities”. Under applicable securities laws and will be subject to various terms and conditions
which may limit Executive’s ability to sell, transfer or otherwise dispose of the shares and/or which may result in the loss or forfeiture of such shares; and (iii) the terms and conditions of the Zurvita 2009 Incentive Stock Plan are not guaranteed any may be altered or eliminated in accordance with the terms of the Zurvita 2009 Incentive Stock Plan.

	 	
(i) 
	
Executive shall further be compensated by through a Stock Purchase Agreement executed between Executive and Amacore Group, Inc., which shall be solely governed by the terms of that Agreement.

SECTION 4: Incentive Bonus Compensation

	
  
	
(a)
	
Incentive Bonus Compensation Generally.  In addition to the Base Salary, Executive shall also be eligible to receive performance incentive bonuses during Executive’s employment with ZURVITA for revenue generated by ZURVITA (“Incentive Bonus Compensation”).  All bonus compensation shall be subject to applicable payroll
processes, withholdings, and employment taxes. The amount of Executive’s incentive bonuses will be determined by the measurable formulaic goals as more particularly set forth in this Section 4.

	
  
	
(b)
	
Incentive Bonus Calculation.  Executive’s Incentive Bonus Compensation shall equal ten percent (10%) of ZURVITA “Net Income”. For the purposes of this Agreement, “Net Income” shall be calculated in accordance with United States Generally Accepted Accounting Principles as presented within the Company’s audited
financial statements contain within its Form 10K filing.  Incentive bonus will be paid within 45 days from the date the Form 10K was filed with the Securities and Exchange Commission..

 

 

3

 

 

	
  
	
For example, if ZURVITA “Net Income” is six million dollars ($6,000,000.00), Executive shall receive Incentive Bonus Compensation of six hundred thousand dollars ($600,000.00), or ten percent (10%) of six million dollars ($6,000,000.00).

	
  
	
(c)
	
Complete Compensation.  The salary, benefits, and Incentive Bonus Compensation described in this Agreement shall be the sole compensation derived by Executive for services under this Agreement, from any relationship between ZURVITA and any third party, and from the sale or transfer of any product, service, data, or other property related to
ZURVITA.

SECTION 5:  Disability and Death.

	
  
	
(a)
	
Upon the disability, as defined in subparagraph 5(b) hereof, of Executive during the Employment Period, ZURVITA may, in its sole discretion, terminate Executive's employment; provided that if ZURVITA elects to so terminate Executive's employment, Executive shall be entitled to receive, immediately upon such termination in a lump sum payment, (i) accrued but unpaid salary, (ii) expense reimbursement, (iii) accrued
but unpaid Incentive Bonus Compensation,  and (iv) an amount from ZURVITA monthly which, when added to the amount received by the Executive from any disability policy in effect for the Executive at the time of his disability, will equal the Executive's salary for a twelve (12) month period following the date of disability termination, as if the disability termination had not occurred. In addition, on an ongoing basis consistent with the payment amounts and payment terms detailed herein, ZURVITA shall
pay to Executive any Incentive Bonus Compensation earned as of the date of Executive’s disability termination.  Provided, however, in the event Executive partially performs and discharge the duties previously performed by him for ZURVITA, nothing herein shall prevent the Executive from continuing his duties in a part-time capacity, at a reduced level of Compensation to be determined at that time.

	
  
	
(b)
	
For purposes of this Agreement the term "disability" shall mean Executive's inability, as determined by the Board of Directors, to continue to materially and substantially perform and discharge the duties previously required of him on behalf of ZURVITA for an aggregate period exceeding two (2) months within any twelve (12) month consecutive period.

	 	
(c) 
	
In the event that ZURVITA intends to terminate the employment of Executive because of disability, ZURVITA shall give the Executive no less than thirty (30) days’ prior written notice of its intention to terminate Executive’s employment.  In the event that Executive denies that he is disabled
from performing the material functions of his job, and there is a dispute between the Parties as to what constitutes a disability, such dispute shall be finally determined by a physician mutually agreed upon by Executive and ZURVITA. If a mutually acceptable physician cannot be selected, such designations shall be made by Executive and ZURVITA each choosing a physician, which shall then mutually select a third physician (collectively called the "panel"). The panel's determination shall be made by majority vote
and such determination shall be deemed binding and conclusive. The Parties agree to fully cooperate with whatever procedures and examinations may be required in order to allow the panel to make its determination.

	 	
(d) 
	
Upon the death of Executive, this Agreement shall automatically terminate. Executive’s legal representative shall be entitled to receive, immediately upon such termination, in a lump sum payment, (i) accrued but unpaid salary, expense reimbursement and (ii) Incentive Bonus Compensation payable to Executive
as of the date of Executive’s death,  In addition, on an ongoing basis consistent with the payment terms detailed herein, ZURVITA shall pay to Executive’s legal representative any Incentive Bonus Compensation, as herein defined, for a period of twelve (12) months commencing on the date of Executive’s death.  In said circumstance, no additional Incentive Bonus Compensation shall be payable.

 

 

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SECTION 6:  Termination of Employment.

	 	
(a) 
	
In the event of (i) termination of this Agreement by Executive not for cause, (ii) resignation of Executive not for cause, (iii) material failure in office by Executive in the performance of his duties hereunder after notice and a reasonable time to cure, which shall be no less that thirty (30) days, (iv) material
breach by Executive of the material covenants and conditions set forth herein this Agreement after notice and a reasonable time to cure, which shall be no less that thirty (30) days, or (v) if Executive is unwilling to carry out the duties reasonably assigned to him by ZURVITA in any material respect, which duties are consistent with duties generally assigned and/or expected of him (items (i) through (v) above shall hereinafter be referred to as "Termination for Cause"), ZURVITA may terminate this Agreement by
giving two (2) weeks prior written notice to Executive identifying the cause of termination and specifying the effective date of such termination, which effective date shall be no less than thirty (30) days from the date such notice is received by Executive. If Executive is subjected to Termination for Cause, then such "cause" shall be specified in such notice and Executive shall be afforded thirty (30) days to cure such breach, if such breach is capable of being cured. On the effective date of termination, ZURVITA
shall pay to Executive the aggregate of (i) accrued but unpaid expenses, if any; (ii) accrued but unpaid Incentive Bonus Compensation, if any; (iii) vacation pay, if any; and (iv) the salary compensation which would have been paid to Executive through the date of termination. Additionally, any Incentive Bonus Compensation which would have been due Executive following the effective date of termination shall be voided in the event of a Termination of Executive by ZURVITA for Cause.

	
  
	
(b)
	
Subject to the cure period herein defined, Executive may terminate this Agreement by giving two (2) weeks written notice to ZURVITA in the event of a termination by Executive “for Cause”, as  hereinafter defined.  For purposes of this Agreement, “termination by Executive for Cause" shall mean:

	 	
(i) 
	
the assignment to Executive of any duties materially inconsistent with Executive’s position (including title and reporting requirements, authority, duties or responsibilities as contemplated by Section 2 of this Agreement), and ZURVITA’s requirement of Executive to perform said duties following written
objection by Executive to the duties assigned by ZURVITA, or material diminution in Executive’s title and authority following written objection by Executive to the alleged diminution of Executive’s title and authority,  For the purposes of this section, actions taken by ZURVITA in good faith, and which are remedied by ZURVITA promptly after receipt of written notice thereof given by the Executive shall not constitute grounds for “for Cause termination by Executive; or

	 	
(ii) 
	
the failure of ZURVITA, absent consent by Executive, to make any payment due under Section 3 (a) of this Employment Agreement within thirty (30) days of the due date of any such payment or any payment due under Section 4 of this Employment Agreement within fifteen (30) days of the due date.  Payments made
to Executive which are more than five (30) business days late shall be subject to interest at a rate of fifteen percent (15%) per annum; or

	 	
(iii) 
	
Failure of ZURVITA to fully comply with the material terms of this Agreement.

 

 

5

 

 

Any breach of this Agreement under the terms of Section 6(b)(i), 6(b)(ii), 6(b)(iii), and 6(b)(iv) shall not be deemed a breach absent written notice, as provided in Section 8, provided to ZURVITA detailing the alleged breach, followed by a thirty (30) day cure period during which time ZURVITA may attempt to cure the
alleged breach.  Should the alleged breach not be satisfactorily cured, Executive shall be entitled to terminate for breach.

	
  
	
(c)`
	
Following the applicable cure period, on the effective date of termination by the Executive for Cause, or of ZURVITA termination of Executive not for cause, ZURVITA shall pay to Executive the aggregate of (i) accrued but unpaid expenses, if any (ii) accrued but unpaid bonuses, if any; (iii) vacation pay, if any, (iv) any accrued salary through the date of termination, and (v) any accrued Incentive Bonus Compensation
through the date of termination. Further, ZURVITA shall pay Executive eighteen (18) months of Incentive Bonus Compensation, as herein defined, vested as of the date of termination by Executive for Cause, or ZURVITA’s termination of Executive not for cause  Further, ZURVITA shall continue to pay Executive’s health insurance costs until the expiration of the Employment Period.  In addition, should ZURVITA terminate Executive not for cause, from and after the termination date ZURVITA
shall pay to Executive twelve (12) months of Base Salary, through the conclusion of the Non-Solicitation Term (“Non-Solicitation Term Base Salary”).  The Non-Solicitation Term Base Salary shall not be applicable should Executive terminate the Agreement for cause, as the non-compete and non-solicitation provisions of this Agreement shall not be applicable in that circumstance.

	
  
	
(d)
	
ZURVITA shall have the right to legally challenge Executive’s termination of this Agreement “for Cause”, including the validity of its curative efforts, provided such legal challenge is brought within six (6) months of Executive’s termination “for Cause”.  The provisions of this Section 6(c) shall be null and void and unenforceable against ZURVITA if, either through written
acknowledgement by Executive, or by the final adjudication of a third party trier of fact that the cause for which Executive terminated the Agreement, and the manner, notice, and timing of the termination, did not meet the standard herein defined as “termination by Executive for Cause” and/or ZURVITA’s curative actions with the alleged breach of the Agreement were satisfactory to cure the alleged breach.

	
  
	
(e)
	
In the event Executive resigns or is terminated as an employee of ZURVITA, Executive hereby agrees that his position(s) as officer of ZURVITA shall automatically end as of the date of his resignation or termination of employment.

	
  
	
(f)
	
Executive agrees, upon termination of his employment with ZURVITA for any reason whatsoever, to return to ZURVITA upon their request all records and other property (whether on paper, computer discs or other form), copies of records and papers belonging or pertaining to ZURVITA.

SECTION 7: Non Solicitation and Confidentiality.

	
  
	
(a)
	
The Parties recognize and acknowledge that in the performance of Executive’s duties, and in the performance of this Agreement, Executive will acquire certain trade secrets, confidential information and information concerning customer or client relationships of ZURVITA.  Executive further acknowledges that considerable secret and private knowledge, information and know-how related to, and concerning,
accounts, customers, locations, commission structure, financial information, business affairs, processes, methods, work-product, information, relationships, pricing, and dealings of ZURVITA, are a valuable and basic business property right of ZURVITA, and that the same are information and knowledge not generally known in the public domain.  The Parties recognize and do hereby acknowledge, that the maintenance of secrecy and privacy concerning these matters is absolutely essential, and are of the utmost
importance to the business affairs, value, effectiveness and continuing viable business status of ZURVITA, which the Parties recognize as a legal property right of ZURVITA.  The Parties recognize, and do hereby acknowledge, that the disclosure of the same to other persons, whether within ZURVITA’s and ZURVITA’s organization or otherwise, will irreparably and substantially cause considerable financial and other loss, detriment and damage to ZURVITA.  The Parties hereto recognize
and do hereby acknowledge that the appropriation or collection for future use, whether directly or indirectly, of the trade secrets, confidential information, information concerning customer or client relationships, pricing, fees, commission structure, processes or accounts of business information of ZURVITA would also cause financial loss, detriment or damage to ZURVITA.  The Parties agree that such confidential information and trade secrets will be solely and strictly used for its sole benefit and
not in competition with or to the detriment of ZURVITA, directly or indirectly, by Executive, or any of his agents, servants, future employees or future employers. Confidential Information shall not include any information or material that is or becomes generally available to the public other than as a result of a wrongful disclosure by a person otherwise bound to the provisions hereof, or any person bound by a duty of confidentiality
or similar duty owed to ZURVITA.

 

 

6

 

 

	
  
	
 (b)
	
Executive agrees that, during the term of this Agreement, Executive shall not be employed by, or provide services, whether paid or unpaid, as a director, consultant, manager, advisor, or other provider of services, to any business or organization not owned or operated by ZURVITA.

	
  
	
(c)
	
Executive agrees that, during the term of this Agreement, and for a period of one (1) year (“Non-Solicitation Term”) thereafter, Executive shall not directly or indirectly:

	
  
	
(i)
	
Solicit or induce any individual, corporation or other entity which is a client or customer of ZURVITA in an attempt to:

 

	
  
	
(1)
	
enter into any business relationship with a client, carrier, provider, or customer of ZURVITA if the business relationship is competitive with any aspect of ZURVITA’s business or ZURVITA’s business in which Executive worked during the one (1) year period preceding termination of employment; or

 

	 	
(2) 
	
reduce or eliminate the business such client or customerconducts with ZURVITA; or

	
  
	
(ii)
	
Solicit or induce any person who has been a ZURVITA employee or agent within the one (1) year period prior to the date of termination of Executive’s employment:

 

	 	
(1) 
	
to cease working for ZURVITA; or

	 	
(2) 
	
to refrain from beginning work for ZURVITA of ZURVITA.

	
  
	
(d)
	
During the term of this Agreement, and for a period of one (1) year thereafter, Executive covenants and agrees that, except as required by the proper performance of his duties for ZURVITA, he shall not divulge, transfer, or derive any compensation or remuneration beyond the scope of this Agreement from any Confidential Information or Trade Secrets concerning any ZURVITA clients, customers, employees, to any other
person. For purposes of this Agreement, “Confidential Information” shall mean information not generally known by ZURVITA’s competitors and ZURVITA’s competitors in the insurance business, including but not limited to the following information about ZURVITA: its financial affairs, sales and marketing strategy, acquisition plan, pricing and costs, its customers’ names addresses, telephone numbers, contact persons, staffing requirements, margin tolerances regarding pricing, and the
names, addresses, telephone numbers, skill sets, availability and wage rates of its personnel.  “Trade Secrets” shall mean information in which ZURVITA takes measures to keep secret and that gives ZURVITA an advantage over its competitors, and includes but is not limited to: accounts, customers, location, fees, member data in any form, providers, networks, carriers, commission structure, financial information, business affairs, processes, methods, work-product, information, relationships,
pricing, contracts, and dealings of ZURVITA.

	 	
(e) 
	
Executive recognizes that irreparable damage will result to ZURVITA in the event of the violation of any covenant contained in this Section 7 and Executive hereby agrees that in the event of such violation, against Executive personally, ZURVITA shall only be entitled to an injunction or other equitable relief in
any court of competent jurisdiction, enjoining any such violations by him.  ZURVITA shall not be entitled to monetary damages against Executive personally, though ZURVITA may pursue monetary damages against incorporated third party entities.  In furtherance of the foregoing, Executive hereby waives any and all defenses he may have on the ground of the lack of jurisdiction or competence of the court to grant such an injunction or other equitable relief.  The existence of the foregoing
right shall not preclude any other rights and remedies at law or in equity that ZURVITA may have.

 

 

7

 

 

	 	
(f)
	
The provisions of this Section 7 shall be null and void and unenforceable against Executive if Executive terminates his employment “for cause”, unless a final adjudication of a third party trier of fact, at the initiation of
ZURVITA from which no appeal may be taken, that the cause for which Executive terminated the Agreement, and the manner, notice, and timing of the termination, did not meet the standard herein defined as “for Cause”.

SECTION 8: Notices

	
  
	
(a)
	
All notices, requests, demands, deliveries and other communications hereunder shall be in writing and shall be deemed to have been duly given if mailed, postage prepaid, registered or certified mail, return receipt requested to the Parties at the addresses (or at such other address for a party as shall be specified by like notice) hereinafter specified:

If To Executive:

Mr. Mark Jarvis

8 Norvell Court

Houston, TX 77024-6253

If To ZURVITA:

200 W. Columbine Avenue

Suite I-2

Santa Ana, CA 92707

SECTION 9: Miscellaneous Provisions

	
  
	
(a)
	
Waiver. The failure of either party at any time or times to require performances of any provision hereof shall in no manner effect the right at a later time to enforce the same. To be effective, any waiver must be contained in a written instrument signed by the party waiving
compliance by the other party of the term or covenant as specified. The waiver by either party of the breach of any term or covenant contained herein, whether by conduct or otherwise, in any one or more instances, shall not be deemed to be, or construed as, a further or continuing waiver of any such breach, or a waiver of the breach of any other term or covenant contained in this Agreement.

	
  
	
(b)
	
Governing Law.  This Agreement shall be governed by the laws of Broward County in the State of Florida, which shall have exclusive jurisdiction over, and shall be the venue for, any claims or disputes arising from the subject matter contained herein without regard to any conflict of laws provision.

	
  
	
(c)
	
Complete Agreement.  This Agreement constitutes the complete and exclusive agreement between the Parties hereto which supersedes all proposals, oral and written, including any current or previous employment agreement, commission agreement, or agreement for
compensation, whether with Amacore Group, Inc. or Zurvita, Inc. and all other communications between the Parties relating to the subject matter contained herein.

	
  
	
(d)
	
Severability.  If any of the provisions of this Agreement are held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.

	
  
	
(e)
	
Executors, Administrators, Successors and Assigns.  This Agreement may not be assigned, transferred or otherwise inure to the benefit of any third person, firm or corporation by operation of law or otherwise, without the written consent by the other party hereto,
except as herein specifically provided to the contrary.

 

 

8

 

 

	
  
	
(f)
	
Modification.  This Agreement may only be amended, varied or modified by a written document executed by the Parties hereto.

	
  
	
(g)
	
Further Instruments.  The Parties hereto agree to execute and deliver, or cause to be executed and delivered, such further instruments or documents and take such other action as may be required to effectively carry out the transactions contemplated herein.

	
  
	
(h)
	
Key Man Life Insurance.  ZURVITA and or ZURVITA shall keep in place a key man life insurance policy of $3,000,000.00 during the term of this Agreement, listing ZURVITA as the beneficiary of said policy.

	
  
	
(i)
	
Successors.  For the purposes of this Agreement, wherever reference is made to ZURVITA, that reference shall include their successors and assigns.

IN WITNESS WHEREOF, the Parties hereto have executed this Agreement the date first written above.

FOR MARK JARVIS

 

 

	/s/ Mark Jarvis                                                               	July 30, 2009
	Mark Jarvis  	Date  

FOR RED SUN MINING, INC.

 

	/s/ Jay Shafer                                                                 
 	July 30, 2009
	Jay Shafer 	Date (“Effective Date”)

 

 

9

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