Document:

Ex-10.6 Employment Agreement Amendment

 

EXHIBIT 10.6

AMENDMENT NO. 1 TO EMPLOYMENT AGREEMENT

     THIS AMENDMENT NO. 1 TO EMPLOYMENT AGREEMENT (this “Agreement”) is made and entered
into as of June 14, 2005, by and between COMPREHENSIVE CARE CORPORATION, a Delaware corporation
(the “Employer”), and ROBERT J. LANDIS, an individual residing in the State of Florida (the
“Executive”). Hereinafter, the Employer and the Executive are sometimes referred to
individually as a “Party” and together as the “Parties.”

W I T N E S S E T H:

     WHEREAS, the Parties have entered into an Employment Agreement, dated effective February 1,
2003, pursuant to which the Executive is employed as the Chairman, Chief Financial Officer and
Treasurer of the Employer (the “Employment Agreement”); and

     WHEREAS, the Parties desire to hereby amend the Employment Agreement in the manner specified
herein.

     NOW THEREFORE, in consideration of the mutual promises contained herein and for other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties
hereto agree as follows:

     1. Definitions. All capitalized terms appearing in this Agreement and defined in the
Employment Agreement shall have the definitions ascribed thereto in the Employment Agreement,
unless otherwise specifically provided for herein.

2. Amendment to Article XI. Article XI of the Employment Agreement is hereby
amended by deleting said section in its entirety and replacing it with the following:

     This Agreement shall have an initial term commencing February 1, 2003 and terminating
on May 31, 2006. This Agreement shall be automatically renewed and extended on its same
terms and conditions for up to two consecutive eighteen month periods unless either party
gives written notice to the other at least six months prior to the initial termination date
or renewal termination date, as the case may be, of its intention not to renew. In the
event that the Company notifies Executive of its intent not to renew this Agreement, the
Company agrees to pay to Executive, upon the expiration of this Agreement without renewal,
a lump sum severance payment equal to two (2) years Base Salary. In addition, and
commencing upon the expiration of this Agreement without renewal, the Company shall, at its
expense, continue to provide Executive with his existing healthcare insurance coverage for
18 months or such shorter period that the Company may legally continue Executive’s
healthcare insurance, in which case the Company shall reimburse Executive for the cost of
comparable healthcare insurance coverage for Executive and his dependents for the period
commencing the time of termination or discontinuance of Executive’s existing healthcare
insurance and 18 months following Executive’s separation from the Company. However, no such
entitlement will continue once Executive has coverage through another employer or has been
added onto coverage available through his spouse’s employer if applicable.

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     3. Amendment to Article XII. Article XII of the Employment Agreement is hereby
amended by deleting said section in its entirety and replacing it with the following:

     In the event that the Executive becomes totally disabled so that he is unable or
prevented from substantially performing his usual duties as set forth in Article III
hereunder after sixty (60) days following a triggering event, he will be considered
terminated without cause as defined under Article XIII (C). Full salary and benefits will
continue during the sixty (60) day period. The obligation of the Company to make the
aforesaid payments shall be modified and reduced and the Company shall receive a credit for
all disability insurance payments which Executive may receive or to which he may become
entitled; provided, however, that the premiums for such disability insurance had been paid
by the Company or had been reimbursed to Executive by the Company.

     4. Amendments to Article XIII(C). In Article XIII, Section (C) of the Employment
Agreement, in the last sentence, the words “curtailment or diminution of the Executive’s duties and
responsibilities” are hereby deleted and replaced with “or total disability as defined in Article
XII herein.”

     5. Amendment to Article XIII(D). Article XIII is hereby amended by adding the
following language as Section (D) of said article:

     (D) In the event the Company materially curtails or diminishes Executive’s duties and
responsibilities, Executive may elect to voluntarily terminate his employment after
providing at least sixty (60) days notice of his intent to do so, regardless of whether the
term of this Agreement shall have expired. Materiality, for purposes of this paragraph,
shall include, but not be limited to, inserting an employee between Executive and the Board
of Directors, or between Executive and his direct reports, or excluding Executive from the
strategic planning process. In the event Executive’s employment is terminated under the
terms of this paragraph, he will receive a severance benefit equal to the greater of the
Executive’s Base Salary for the unexpired term of the Agreement, or an amount equal to two
times the amount of Executive’s Base Salary, whichever is greater.

     6. Miscellaneous. Except as specifically set forth in this Agreement, all of the
terms and provisions of the Employment Agreement shall continue to remain in full force and effect.
This Agreement may be executed in any number of counterparts, each of which shall be deemed to be
an original, and all of which together shall constitute one document. This Agreement, together
with the Employment Agreement, contains the final, complete, and exclusive expression of the
Parties’ understanding and agreement concerning the matters contemplated herein and supersedes any
prior or contemporaneous agreement of representation, oral or written, among them.

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

	 	 	 	 	 	 	 	 	 
	COMPREHENSIVE CARE CORPORATION	 	 	 	ROBERT J. LANDIS
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Mary Jane Johnson
	 	 	 	By:
	 	/s/ Robert J. Landis
	 

	 	 
	 	 	 	 	 	 
	Name: Mary Jane Johnson	 	 	 	 	 	Robert J. Landis, individually
	Title: President and Chief Executive Officer	 	 	 	 	 	 

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                                                                    EXHIBIT 10.1

                  RESTRICTED STOCK AWARD NOTICE AND AGREEMENT

<TABLE>
<S>                          <C>                                                      <C>
BOB EVANS FARMS, INC.        OPTIONEE:                                                AWARD NUMBER:
ID: 31-4421866                                                                        PLAN: FIRST AMENDED AND RESTATED
3776 SOUTH HIGH STREET                                                                      1998 STOCK OPTION AND
COLUMBUS, OH 43207                                                                          INCENTIVE PLAN
                                                                                      ID:
</TABLE>

      EFFECTIVE _________________, YOU HAVE BEEN GRANTED A RESTRICTED STOCK
      AWARD CONSISTING OF _____________ SHARES OF COMMON STOCK, PAR VALUE $0.01
      PER SHARE, OF BOB EVANS FARMS, INC (THE "COMPANY"). YOU WILL NOT RECEIVE
      THE COMMON STOCK SUBJECT TO THIS RESTRICTED STOCK AWARD UNLESS AND UNTIL
      THE APPLICABLE VESTING CONDITIONS ARE SATISFIED. THESE VESTING CONDITIONS
      AND THE OTHER TERMS OF THIS RESTRICTED STOCK AWARD ARE EXPLAINED ON THE
      REVERSE SIDE OF THIS DOCUMENT.

                                      BOB EVANS FARMS, INC.

                                      BY:
                                         -------------------------------------
                                          STEWART K. OWENS
                                          CHAIRMAN AND CHIEF EXECUTIVE OFFICER
                                          DATE:

THIS RESTRICTED STOCK AWARD NOTICE AND AGREEMENT IS NOT A STOCK CERTIFICATE OR A
NEGOTIABLE INSTRUMENT. THE STOCK SUBJECT TO THIS RESTRICTED STOCK AWARD NOTICE
AND AGREEMENT CANNOT BE TRANSFERRED, PLEDGED, ASSIGNED OR OTHERWISE ENCUMBERED
UNTIL ALL APPLICABLE VESTING CONDITIONS ARE SATISFIED.

BY YOUR RECEIPT OF THIS RESTRICTED STOCK AWARD NOTICE AND AGREEMENT, YOU AND THE
COMPANY AGREE THAT THIS RESTRICTED STOCK AWARD IS GRANTED UNDER AND GOVERNED BY
THE TERMS AND CONDITIONS OF THE BOB EVANS FARMS, INC. FIRST AMENDED AND RESTATED
1998 STOCK OPTION AND INCENTIVE PLAN, INCLUDING THE TERMS AND CONDITIONS SET
FORTH ON THE REVERSE SIDE OF THIS RESTRICTED STOCK AWARD NOTICE AND AGREEMENT.

SECTION 409A OF THE INTERNAL REVENUE CODE ("SECTION 409A") IMPOSES SUBSTANTIAL
PENALTIES ON PERSONS WHO RECEIVE SOME FORMS OF DEFERRED COMPENSATION. YOUR
RESTRICTED STOCK AWARD HAS BEEN DESIGNED TO AVOID THESE PENALTIES. HOWEVER,
BECAUSE THE INTERNAL REVENUE SERVICE HAS NOT YET ISSUED RULES FULLY DEFINING THE
EFFECT OF SECTION 409A, IT MAY BE NECESSARY TO REVISE YOUR RESTRICTED STOCK
AWARD NOTICE AND AGREEMENT IF YOU ARE TO AVOID THESE PENALTIES. BY ACCEPTING
THIS RESTRICTED STOCK AWARD, YOU AGREE TO ACCEPT THOSE REVISIONS, WITHOUT ANY
FURTHER CONSIDERATION, EVEN IF THOSE REVISIONS CHANGE THE TERMS OF YOUR
RESTRICTED STOCK AWARD AND REDUCE ITS VALUE OR POTENTIAL VALUE.

<PAGE>

                              BOB EVANS FARMS, INC.
                           FIRST AMENDED AND RESTATED
                      1998 STOCK OPTION AND INCENTIVE PLAN
                   RESTRICTED STOCK AWARD NOTICE AND AGREEMENT

Bob Evans Farms, Inc. (the "Company") is pleased to inform you that you have
been granted a "Restricted Stock Award." Your Award has been awarded under the
Bob Evans Farms, Inc. First Amended and Restated 1998 Stock Option and Incentive
Plan (the "Plan"), which, together with this Restricted Stock Award Notice and
Agreement ("Agreement"), sets forth the terms and conditions of this Award and
is incorporated by reference into this Agreement. A prospectus describing the
Plan in more detail has been delivered to you. Copies of the Plan and the
prospectus are also available at our Compensation Department. The Plan and the
prospectus contain important information and we urge you to review them
carefully.

AWARD INFORMATION:

Grantee:
Grant Date:
Number of Shares of
Restricted Stock Awarded:

WHAT IS A RESTRICTED STOCK AWARD?

A Restricted Stock Award is a grant of shares of common stock, par value $0.01,
of the Company ("Shares"), but your right to receive the Shares is subject to a
risk of forfeiture and other restrictions that will lapse or "vest" upon the
occurrence of certain events. We call the Shares subject to this Restricted
Stock Award "Restricted Stock." Until the vesting requirements are satisfied,
your Restricted Stock will be credited to an account maintained for you by the
Company. The Company will deliver unrestricted shares to you within 60 days
after the last day of the month in which applicable vesting requirements are
satisfied. You will not receive certificates for the Restricted Stock unless and
until the vesting requirements are satisfied.

VESTING:

You will satisfy the vesting requirements for your Restricted Stock Award
pursuant to the following schedule:

<TABLE>
<CAPTION>
           The Following Number of Shares of
           ---------------------------------
 On            Restricted Stock Will Vest
----           --------------------------
<S>        <C>
____
____
____
</TABLE>

As soon as administratively feasible after each vesting date, you will be issued
common shares equal in number to the number of shares of Restricted Stock then
vesting.

You also will satisfy the vesting requirements if you retire (as defined in the
Plan), die or become disabled (as defined in the Plan) before the dates shown in
this table.

If your employment with the Company (and its subsidiaries) ends for any reason
(other than retirement, death or disability) before the dates specified in the
table above, you will forfeit the unvested portion of the Restricted Stock
credited to your account.

EFFECT OF A CHANGE IN CONTROL OF THE COMPANY: This Award will vest immediately
and become fully exercisable if, within 36 months after a change in control of
the Company, the Plan is terminated and not replaced simultaneously with a
similar program providing comparable benefits. A "change in control" is defined
in the Plan.

RESTRICTIONS ON TRANSFER OF RESTRICTED STOCK: You may not pledge, transfer,
assign, mortgage, sell or otherwise dispose or encumber any of the shares
subject to this Restricted Stock Award until they are vested. Additionally, no
interest in your Restricted Stock Award may be subject to seizure for the
payment of debts, judgments, alimony, or be reached or transferred in the event
you become bankrupt or insolvent until those shares vest. Once the vesting
requirements are satisfied, the Company does not impose any restrictions on the
resale of the Shares issued to you. However, certain restrictions may be imposed
by the federal securities laws on the resale of the Shares you acquire under the
Plan. See "Section 16 Officers and Affiliates" below.

RIGHTS AS A STOCKHOLDER: During the period in which your Restricted Stock has
not vested, you will have all of the rights of a stockholder of the Company with
respect to the Restricted Stock, including the right to vote the Restricted
Stock and to receive cash dividends paid on the Restricted Stock (any dividends
paid in Company stock will be held in the escrow account and distributed or
forfeited when the shares upon which they were paid are distributed or
forfeited). However, you will not be entitled to receive dividends or vote on
matters with record dates prior to the Grant Date, or record dates on or after
the date you forfeit your Restricted Stock Award.

TAX WITHHOLDING: The Company must withhold federal, state and local taxes in
connection with the vesting of your Restricted Stock and the Company has the
right to require these payments from you. Unless you pay the Company the amount
of these taxes in cash within 90 days of the date your Restricted Stock Award
vests, the Company will withhold a number of the Shares of Restricted Stock you
would otherwise receive having a "Fair Market Value" equal to the amount of tax
withholding liability. The "Fair Market Value" of the Company's Shares, on any
given date, is the last reported closing price of the Shares on the NASDAQ
National Market System.

TAX CONSEQUENCES: This brief discussion of the federal tax rules that affect
your Restricted Stock Award is provided as general information (not as personal
tax advice) and is based on the Company's understanding of federal tax laws and
regulations in effect as of the date of this Restricted Stock Award.

YOU SHOULD CONSULT WITH A TAX OR FINANCIAL ADVISER TO ENSURE YOU FULLY
UNDERSTAND THE TAX RAMIFICATIONS OF YOUR RESTRICTED STOCK AWARD.

You will not be required to pay ordinary income taxes on the value of this
Restricted Stock Award when issued. However, you will be required to pay
federal, state and local income, wage and employment taxes when the vesting
requirements are met. The amount taxed is the full Fair Market Value of the
Restricted Stock on the date the vesting requirements are satisfied. The Company
must withhold these taxes (see discussion of "Tax Withholding"). When you sell
the Shares you acquire through this Restricted Stock Award, the difference
between their Fair Market Value when sold and the Fair Market Value on the
vesting date will be taxed as a long term capital gain (or loss), if you sell
the Shares more than one year after the vesting date, or as a short term capital
gain (or loss), if you sell the Shares one year or less after the vesting date.

PLAN CONTROLS: The terms contained in the Plan are incorporated into and made a
part of this Agreement and this Agreement shall be governed by and construed in
accordance with the terms of the Plan. In the event of any actual or alleged
conflict between the terms of the Plan and terms of this Agreement, the terms of
the Plan shall be controlling and determinative.

SECTION 16 OFFICERS AND AFFILIATES: If you are an executive officer of the
Company subject to the requirements of Section 16 of the Securities Exchange Act
of 1934, as amended, you are responsible for ensuring that all the requirements
of Section 16 are met, including filing notices of your receipt of this
Restricted Stock Award with the Securities and Exchange Commission on a Form 4.
Additionally, certain restrictions are imposed by the federal securities laws on
the resale of Shares acquired under the Plan by persons deemed to be
"affiliates" of the Company. An "affiliate" is a person who possesses the power
(direct or indirect) to direct or cause the direction of the Company's
management or policies.

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