Document:

exhibit10-2.htm

    
      Exhibit
        10.2

      EMPLOYMENT
        AGREEMENT

       

      
        
          
            This
              Employment Agreement
              (“Agreement”), dated as of January 31, 2008, is made and entered into between
Capital Bank
              (hereinafter the “Bank”), and Michael R. Moore (hereinafter
              “Employee”).

             

          

          The
            Bank
            desires to continue to employ Employee and Employee desires to accept
            such
            employment on the terms set forth below.

          

          In
            consideration of the mutual promises
            set forth below and other good and valuable con­sideration, the receipt and
            sufficiency of which the parties acknowledge, the Bank and Employee agree
            as
            follows:

          

          1. Employment.
The
            Bank employs
            Employee and Employee accepts employment on the terms and conditions
            set forth
            in this Agreement.

          

          2. Nature
            of
            Employment.
Employee
            shall serve as Executive Vice President and Chief Financial
            Officer and shall have such responsibilities and authority as may be
            reasonably
            assigned to him by the Bank. Employee shall also serve as Executive Vice
            President of Capital Bank Corporation (“CBC” and, along with the Bank, sometimes
            collectively referred to herein as the “Corporation”). Employee shall devote his
            full time and attention and best efforts to perform successfully his
            duties and
            advance the Bank’s and CBC’s interests. Employee shall abide by the Bank’s and
            CBC’s policies, procedures, and practices as they may exist from time to
            time.

          

          During
            this employment, Employee shall have no other employment of any nature
            whatsoever without the prior consent of the Bank; provided, however,
            this
            Agreement shall not prohibit Employee from personally owning and dealing
            in
            stocks, bonds, securities, real estate, commodities or other investment
            properties for his own benefit or those of his immediate family.

          

          3. Term.
Subject
            to the earlier
            termination provisions set forth in Section 5, the original term of this
            Agreement shall be one (1) year commencing as of the date set forth above.
            Upon
            expiration of the original term or any renewal term, the term shall be
            automatically renewed for an additional one (1) year period unless, at
            least
            thirty (30) days prior to the renewal date, either party gives notice
            of its
            intent not to continue the relationship. During any renewal term, the
            terms,
            conditions and provisions set forth in this Agreement shall remain in
            effect
            unless modified in accordance with Section 13.

          

          4. Compensation
            and
            Benefits.

          

          (a) Base
            Salary.
Employee’s initial
            annual base salary for all services rendered shall be
            One Hundred and Eighty Five and No/100 Dollars ($185,000.00) (less any
            applicable taxes and withholdings), payable in accordance with the Bank’s
            policies, procedures, and practices as they may exist from time to time.
            Employee’s salary periodically may be reviewed and adjusted at the Bank’s
            discretion in accordance with the Bank’s policies, procedures and practices as
            they may exist from time to time.

          

          (b) Incentive
            Plan. Employee
            shall be eligible to participate in the Capital Bank Corporation Equity
            Incentive Plan in accordance with the applicable terms, conditions, and
            eligibility requirements of that Plan, some of which are in the plan
            administrator’s discretion, as they may exist from time to time.

          

          (c) Benefits.
Employee
            may
            participate in any medical insurance or other employee benefit plans
            and
            programs which may be made available from time to time to other Bank
            or CBC
            employees at Employee’s level; provided, however, that Employee’s participation
            in such benefit plans and programs is subject to the applicable terms,
            conditions, and eligibility requirements of those plans and programs,
            some of
            which are within the plan administrator’s discretion, as they may exist from
            time to time.

          

          (d) Expenses.
Employee
            shall be
            reimbursed by the Bank for any reasonable and necessary business expenses
            incurred by Employee on behalf of the Bank or in connection with Employee’s
            performance of his duties hereunder. Such reimbursement shall be in accordance
            with the Bank’s practices or policies as they may exist from time to
            time.

          

            
              
                 

              

              
                -
                  1
                  -

                
                  

                

              

              
                 

              

            

          

           

          (e) Vacation.
Employee
            shall be
            entitled to four (4) weeks of vacation during calendar year 2008 and
            thereafter
            vacation entitlement shall be in accordance with the Bank’s policies. Such
            vacation shall be taken in accordance with the Bank’s policies and practices as
            they may exist from time to time.

          

          5. Termination
            of
            Employment and Post-Termination Compensation.

          

          (a) With
            Notice. Either
            the Bank or Employee may terminate this Agreement and the employment
            relationship created hereunder without cause at any time by giving thirty
            (30)
            days’ written notice to the other party.

          

          (b) Cause,
            Disability, or Death.
The Bank
            may terminate Employee’s employment immediately for
“Disability,” “Cause,” or in the event of Employee’s death. For purposes of this
            Agreement, Disability shall mean Employee’s mental or physical inability to
            perform the essential functions of his duties satisfactorily for a period
            of one
            hundred eighty (180) consecutive days or one hundred eighty (180) days
            within a
            365-day period as determined by the Bank in its reasonable discretion
            and in
            accordance with applicable law. For purposes of this Agreement, “Cause” shall
            mean: (i) any act
            of Employee involving dishonesty; (ii) any material
            violation by Employee of any Bank or CBC rule, regulation, or policy;
(iii) gross negligence
            committed by Employee; (iv) material failure
            of
            Employee to perform his duties hereunder; or (v) Employee’s breach of
            any of the express obligations of this Agreement.

          

          (c) Post-Termination
            Compensation.

          

          (i) In
            the
            event of termination for Cause, the Bank’s obligation to compensate Employee
            ceases on the date of termination except as to the amounts of salary
            due at that
            time.

          

          (ii) In
            the
            event of a termination for death or Disability, the Bank’s obligation to
            compensate Employee ceases on the date of termination, except as to any
            accrued
            compensation and any pro rata bonuses to which he may be entitled as
            of the date
            of termination. The Bank shall pay any such amounts to Employee or Employee’s
            estate.

          

          (iii) If
            there
            has been no Change in Control and the Bank terminates Employee’s employment
            without Cause, then Employee, upon his execution of an enforceable general
            release in a form prepared by the Bank, shall be entitled to (A) receive an amount
            equal to his then current annual base salary plus the amount of bonus
            paid to
            Employee, if any, in the prior bonus year (less any applicable taxes
            and
            withholdings), payable in substantially equal amounts over a twelve (12)
            month
            period in accordance with the payroll schedule applicable to Employee
            immediately prior to the termination of employment and beginning with
            the first
            month after the date of termination of employment (for purposes of Section
            409A
            of the Internal Revenue Code of 1986, as amended (the “Code”), as applicable,
            each installment payment shall be considered a separate payment); and
(B) for the period
            of
            time Employee receives payments pursuant to Section 5(c)(iii)(A), participate
            in
            all life insurance, health, accidental death and dismemberment, and disability
            plans paid by the Bank for Employee in which Employee participates immediately
            prior to the termination, provided that Employee’s continued participation is
            possible under the applicable terms, conditions and eligibility requirements
            of
            such plans and programs. Employee’s continued participation in such plans and
            programs shall be at no greater cost to Employee than the cost he bore
            for such
            participation immediately prior to termination. If Employee’s participation in
            any such plan or program is barred, the Bank shall arrange upon comparable
            terms, and at no greater cost to Employee than the cost he bore for such
            plans
            and programs prior to termination, to provide Employee with benefits
            substantially similar to, or greater than, those which he is entitled
            to receive
            under any such plan or program. Provided, however, no installment payments
            or
            benefits shall be provided until the required general release becomes
            effective.

          

            
              
                 

              

              
                -
                  2
                  -

                
                  

                

              

              
                 

              

            

          

           

          6. Non-Solicitation/Non-Compete.
Employee
            acknowledges
            that by virtue of Employee’s employment with the Bank, Employee shall have
            access to and control of confidential and proprietary information concerning
            the
            Corporation’s and/or its affiliates’ business and that the Corporation’s
            business depends to a considerable extent on the individual skills, efforts,
            and
            leadership of Employee. Additionally, Employee acknowledges that the
            covenants
            contained in this Section 6 are reasonably necessary to protect the legitimate
            business interests of the Corporation and are described with sufficient
            accuracy
            and definiteness to enable him to understand the scope of the restrictions
            imposed on him. Accordingly and in consideration of the Corporation’s
            commitments to Employee under this Agreement, Employee expressly covenants
            and
            agrees that Employee shall not, without the prior consent of the Bank,
            during
            his employment and, subject to Section 6(c) below, for one (1) year following
            the cessation of his employment regardless of the reason for the
            cessation,

          

          (a) on
            Employee’s own or another’s behalf, whether as an officer, director,
            stockholder, partner, associate, owner, employee, consultant or
            otherwise:

          

          (i) within
            any city, metropolitan area or county in which the Corporation does business
            or
            is located, engage in any business activity (or assist others to engage
            in any
            business activity) that directly competes with the Corporation;

          

          (ii) solicit
            or do business that is the same, similar to, or otherwise in competition
            with
            the business engaged in by the Corporation from or with persons or entities
            who
            are customers of the Corporation, who were customers of the Corporation
            at any
            time during the last year of Employee’s employment with the Bank, or to whom the
            Corporation made proposals for business at any time during the last year
            of
            Employee’s employment with the Bank; or

          

          (iii) employ,
            offer employment to, or otherwise solicit for employment, any employee
            or other
            person who is then currently an employee of the Corporation or who was
            employed
            by the Corporation during the last year of Employee’s employment with the
            Bank.

          

          (b) within
            any city, metropolitan area or county in which the Corporation does business
            or
            is located, be employed or otherwise engaged by any entity that engages
            in the
            same, similar or otherwise competitive business as the Corporation, to
            provide
            the same or similar services that Employee provided to the
            Corporation.

          

          (c) (i) If
(A) the
            Bank terminates
            Employee’s employment without Cause and (B) Employee waives
            in
            writing his right to receive payments pursuant to Section 5(c)(iii) hereof,
            the
            non-competition and non-solicitation restrictions contained in this Section
            6
            shall terminate on the later of (A) the cessation
            of
            Employee’s employment with the Bank or (B) the Bank’s receipt of
            Employee’s waiver described in this Section 6(c)(i). (ii) In the event
            that
            Employee’s employment terminates under any of the circumstances described in
            Section 8(b) (“Change in Control Termination”), the non-competition and
            non-solicitation restrictions contained in this Section 6 shall terminate
            six
            (6) months following cessation of Employee’s employment with the
            Bank.

          

          7. Proprietary
            Information and Property. Employee
            shall not, at any
            time during or following employment with the Bank, disclose or use, except
            in
            the course of his employment with the Bank or as may be required by law,
            any
            confidential or proprietary information of the Bank or CBC received by
            Employee
            while employed hereunder, whether such information is in Employee’s memory or
            embodied in writing or other physical form.

          

          Confidential
            or proprietary information
            is information which is not generally available to the general public,
            or the
            Bank’s or CBC’s competitors, or ascertainable through common sense or general
            business knowledge; including, but not limited to data, compilations,
            methods,
            financial data, financial plans, business plans, product plans, lists
            of actual
            or potential customers, and marketing information regarding executives
            and
            employees.

          

            
              
                 

              

              
                -
                  3
                  -

                
                  

                

              

              
                 

              

            

          

           

          All
            records, files or other objects
            maintained by or under the control, custody or possession of the Bank,
            CBC, or
            their agents in their capacity as agents shall be and remain the Bank’s or CBC’s
            property respectively. Upon termination of his employment or upon the
            Bank’s or
            CBC’s earlier request, Employee shall return to the Bank all property
            (including, but not limited to, credit cards, keys, company car, cell
            phones,
            computer hardware and software, records, files, manuals and other documents
            in
            whatever form they exist, whether electronic, hard copy or otherwise
            and all
            copies, notes or summaries thereof) which he received in connection with
            his
            employment. At the Bank’s request, Employee shall bring current all such
            records, files or documents before returning them.

          

          Upon
            notice of cessation of his
            employment with the Bank, Employee shall fully cooperate with the Bank
            in
            winding up his pending work and transferring his work to those individuals
            designated by the Bank.

          

          8. Change
            in
            Control.

          

          (a) Definition.
For
            purposes of this
            Agreement, “Change in Control” shall mean any of the following:

          

          (i) Any
            “person” (as such term is used in Section 13(d)(3) or 14(d)(2) of the Securities
            Exchange Act of 1934, as amended (the “Act”)) acquiring “beneficial ownership”
(as such term is used in Rule 13d-3 under the Act), directly or indirectly,
            of
            securities of CBC, the parent holding company of the Bank, representing
            fifty
            percent (50%) or more of the combined voting power of CBC’s then outstanding
            voting securities (the “Voting Power”), but excluding for this purpose an
            acquisition by CBC or an “affiliate” (as defined in Rule 12b-2 under the Act) or
            by an employee benefit plan of CBC or of an affiliate.

          

          (ii) The
            individuals who constitute the Board of Directors of CBC (“Board”) on the
            effective date hereof or their successors duly appointed in the ordinary
            course
            (collectively, the “Incumbent Directors”) cease to constitute at least a
            majority of the Board in any twelve (12) month period. Any director whose
            nomination is approved by a majority of the Incumbent Directors shall
            be
            considered an Incumbent Director; provided, however, that no Director
            whose
            initial assumption of office is in connection with an actual or threatened
            election contest relating to the election of the directors of CBC shall
            be
            considered an Incumbent Director.

          

          (iii) The
            shareholders of CBC approve a reorganization, share exchange, merger
            or
            consolidation related to CBC or the Bank following which the owners of
            the
            Voting Power of CBC immediately prior to the closing of such transaction
            do not
            beneficially own, directly or indirectly, more than fifty percent (50%)
            of the
            Voting Power of CBC.

          

          (iv) The
            shareholders of CBC approve a complete liquidation or dissolution of
            CBC, or a
            sale or other disposition of all or substantially all of the capital
            stock or
            assets of CBC, but excluding for this purpose any sale or disposition
            of all or
            substantially all of the capital stock or assets of CBC to an “affiliate” (as
            defined in Rule 12b-2 under the Act) of CBC.

          

          Change
            in
            Control shall not include a transaction, or series of transactions, whereby
            CBC
            or the Bank becomes a subsidiary of a holding company if the shareholders
            of the
            holding company are substantially the same as the shareholders of CBC
            prior to
            such transaction or series of series of transactions.

          

          (b) Change
            in
            Control Termination.
After
            the occurrence of a Change in Control, Employee shall be entitled
            to receive payments and benefits pursuant to this Agreement in the following
            circumstances:

          

          (i) if
            within
            the period beginning ninety (90) days prior to and ending three (3) years
            after
            the occurrence of a Change in Control, the Bank terminates Employee’s employment
            for any reason other than Cause, Disability, or death; or

          

          (ii) if
            within
            three (3) years after the occurrence of a Change in Control, Employee
            terminates
            his employment with the Bank for “Good Reason.” For purposes of this Section
            8(b), “Good Reason” shall mean the occurrence of any of the following events or
            conditions without Employee’s prior written consent:

          
            
               

            

            
              -
                4
                -

              
                

              

            

            
               

            

          

          (A) a
            change
            in Employee’s status, title, position, or responsibilities (including reporting
            responsibilities) which represents a material adverse change from his
            status,
            title, position, or responsibilities in effect immediately prior thereto;
            the
            assignment to Employee of any duties or responsibilities which are materially
            inconsistent with his status, title, position or responsibilities; or
            any
            removal of Employee from or failure to reappoint or re-elect him to any
            of such
            positions, status, or title (including positions, titles, and responsibilities
            with any affiliate), except in connection with the termination of his
            employment
            for Disability, Cause, or death, or by Employee other than for Good Reason;
            provided, however, that no such change, assignment, or removal shall
            constitute
            Good Reason so long as Employee suffers no reduction in Base Salary as
            a result
            of such change, assignment, or removal;

          

          (B) the
            Bank’s requiring Employee to be based at any place outside a thirty (30) mile
            radius from its headquarters at 333 Fayetteville Street, Raleigh, North
            Carolina, except for reasonably required travel on the Bank’s
            business;

          

          (C) any
            material breach by the Bank of any express provision of this Agreement;
            or

          

          (D) the
            failure of CBC to obtain an agreement, satisfactory to Employee, from
            any
            successor or assign of CBC to assume and agree to perform this
            Agreement.

          

          (c) Change
            in
            Control Benefits.
In the
            event that Employee’s employment with the Bank terminates under
            any of the circumstances described above in this Section 8 at any time,
            Employee
            shall be entitled to receive all accrued compensation and any pro rata
            bonuses
            to which he may be entitled and which Employee may have earned up to
            the date of
            termination and, upon Employee’s execution of an enforceable general release in
            a form prepared by the Bank, severance payments and benefits according
            to the
            following schedule and terms:

          

          (i) a
            severance payment equal to: 2.99 times the amount of Employee’s then current
            annual base salary plus the amount of bonus paid to Employee, if any,
            in the
            prior bonus year (less any applicable taxes and withholdings), in the
            event the
            termination occurs no later than twelve (12) months after the occurrence
            of a
            Change in Control; 2.0 times the amount of Employee’s then current annual base
            salary plus the amount of bonus paid to Employee, if any, in the prior
            bonus
            year (less any applicable taxes and withholdings), in the event the termination
            occurs more than twelve (12) months but within (up to and including)
            twenty-four
            (24) months after the occurrence of a Change in Control; or 1.0 times
            the amount
            of Employee’s then current annual base salary plus the amount of bonus paid to
            Employee, if any, in the prior bonus year (less any applicable taxes
            and
            withholdings), in the event the termination occurs more than twenty-four
            (24)
            months but within (up to and including) thirty-six (36) months after
            the
            occurrence of a Change in Control. The severance payment shall be paid
            in
            substantially equal monthly installments without interest, over a period
            of
            thirty-six (36), twenty-four (24), or twelve (12) months, respectively,
            in
            accordance with the payroll schedule applicable to Employee immediately
            prior to
            the termination of employment and beginning with the first month after
            the date
            of termination of employment (for purposes of Section 409A of the Code,
            as
            applicable, each installment payment shall be considered a separate payment);
            and

          

          (ii) a
            cash
            payment in an amount equal to the premiums that Employee would pay in
            order to
            secure COBRA continuation coverage for health insurance under the Bank’s medical
            plan and for the premiums Employee would pay for life insurance, accidental
            death and dismemberment and disability insurance to continue such insurance
            during the applicable severance periods following termination of employment
            (irrespective of whether COBRA otherwise would terminate prior to expiration
            of
            any such severance period) (“Premium Payment”); and the additional federal,
            state, and local income and other taxes that will result from the Premium
            Payment (the “Premium Tax Gross-up”). This Premium Payment and the Premium Tax
            Gross-up shall be paid in a single lump-sum cash payment, less any applicable
            taxes and withholdings, within thirty (30) days after the date of termination
            of
            employment.

          

          Provided,
            however, no installment payments or other cash payment shall be provided
            until
            the required general release becomes effective.

          

            
              
                 

              

              
                -
                  5
                  -

                
                  

                

              

              
                 

              

            

          

           

          (d) Limitation
            on Payments. To
            the extent that any of the payments and benefits provided for under this
            Agreement or otherwise payable to Employee constitute “parachute payments”
within the meaning of Section 280G of the Code, and but for this Section
            8 would
            be subject to the excise tax imposed by Section 4999 of the Code, the
            Bank shall
            reduce the aggregate amount of such payments and benefits such that the
            present
            value of such payment of benefits and any other “parachute payments” amounts (as
            determined under the Code and the applicable regulations) is equal to
            2.99 times
            Employee’s “base amount” as defined in Section 280G(b)(3) of the
            Code.

          

          9. Survival.
The
            terms and
            conditions of Sections 6 and 7 shall survive termination of this Agreement
            and/or Employee’s employment and shall not be affected by any change or
            modification of this Agreement unless specific reference is made to such
            sections.

          

          10. Remedies.
Employee
            agrees that
            his breach or threatened violation of Sections 6 and 7 will result in
            immediate
            and irreparable harm to the Bank or CBC for which legal remedies would
            be
            inadequate. Therefore, in addition to any legal or other relief to which
            the
            Bank or CBC may be entitled, (a) the Bank or
            CBC may
            seek legal and equitable relief, including but not limited to, preliminary
            and
            permanent injunctive relief, (b) the Bank will
            be
            released of its obligations under this Agreement to make any payments
            to
            Employee, including but not limited to, those payable pursuant to Sections
            5
            and/or 8, and (c) Employee will
            indemnify the Bank or CBC for all expenses, including attorneys’ fees, in
            seeking to enforce those Sections.

          

          11. Delayed
            Distribution to Key Employees. If the
            Bank determines in
            accordance with Sections 409A and 416(i) of the Code and the regulations
            promulgated thereunder, in the Bank’s sole discretion, that Employee is a Key
            Employee of the Bank on the date his employment with the Bank terminates
            and
            that a delay in benefits provided under this Agreement and not otherwise
            exempt
            from Section 409A is necessary to comply with Code Section 409A(a)(2)(B)(i),
            then any severance payments and any continuation of benefits or reimbursement
            of
            benefit costs provided by this Agreement shall be delayed for a period
            of six
            (6) months following Employee’s termination date (the “409A Delay Period”). In
            such event, any such severance payments and the cost of any such continuation
            of
            benefits provided under this Agreement that would otherwise be due and
            payable
            to Employee during the 409A Delay Period shall be paid to Employee in
            a lump sum
            cash amount in the month following the end of the 409A Delay Period.
            For
            purposes of this Section 11, “Key Employee” shall mean an employee who, on an
            Identification Date (“Identification Date” shall mean each December 31) is a key
            employee as defined in Section 416(i) of the Code without regard to paragraph
            (5) thereof. If Employee is identified as a Key Employee on an Identification
            Date, then Employee shall be considered a Key Employee for purposes of
            this
            Agreement during the period beginning on the first April 1 following
            the
            Identification Date and ending on the following March 31.

          

          12. Waiver
            of
            Breach. The
            Bank’s or Employee’s waiver of any breach of a provision of this Agreement shall
            not waive any subsequent breach by the other party.

          

          13. Entire
            Agreement. This
            Agreement: (i) supersedes all
            other
            understandings and agreements, oral or written, between the parties with
            respect
            to the subject matter of this Agreement; and (ii) constitutes
            the
            sole agreement between the parties with respect to this subject matter.
            Each
            party acknowledges that: (i) no representations,
            inducements, promises or agreements, oral or written, have been made
            by any
            party or by anyone acting on behalf of any party, which are not embodied
            in this
            Agreement; and (ii) no agreement,
            statement or promise not contained in this Agreement shall be valid.
            No change
            or modification of this Agreement shall be valid or binding upon the
            parties
            unless such change or modification is in writing and is signed by the
            parties.

          

          14. Severability.
If
            a court of
            competent jurisdiction holds that any provision or sub-part thereof contained
            in
            this Agreement is invalid, illegal or unenforceable, that invalidity,
            illegality
            or unenforceability shall not affect any other provision in this Agreement.
            Additionally, if any of the provisions, clauses or phrases set forth
            in Section
            6 or 7 of this Agreement are held unenforceable by a court of competent
            jurisdiction, then the parties desire that such provision, clause or
            phrase be
“blue-penciled” or rewritten by the court to the extent necessary to render it
            enforceable.

          

            
              
                 

              

              
                -
                  6
                  -

                
                  

                

              

              
                 

              

            

          

           

          15. Parties
            Bound. The
            terms, provisions, covenants and agreements contained in this Agreement
            shall
            apply to, be binding upon and inure to the benefit of the Bank’s successors and
            assigns. The Bank, at its discretion, may assign this Agreement. Employee
            may
            not assign this Agreement without the Bank’s prior written consent.

          

          16. Governing
            Law. This
            Agreement and the employment relationship created by it shall be governed
            by
            North Carolina law. The parties hereby consent to exclusive jurisdiction
            in
            North Carolina for the purpose of any litigation relating to this Agreement
            and
            agree that any litigation by or involving them relating to this Agreement
            shall
            be conducted in the court of Wake County or the federal court of the
            United
            States for the Eastern District of North Carolina.

          

            
              
                 

              

              
                -
                  7
                  -

                
                  

                

              

              
                 

              

            

          

        

        

          IN
            WITNESS WHEREOF, the
            parties have entered into this Agreement on the day and year written
            below.

          

          
            	 	
                    EMPLOYEE

                  	 	 
	 	 	 	 
	 	 	 	 
	 	
                    /s/
                      Michael R. Moore

                  	 	
                    January
                      31, 2008

                  
	 	
                    Michael
                      R. Moore

                  	 	
                    Date

                  
	 	 	 	 
	 	 	 	 
	 	
                    CAPITAL
                      BANK

                  	 	 
	 	 	 	 
	 	 	 	 
	 	
                    By:  /s/ B.
                      Grant Yarber

                  	 	
                    January
                      31, 2008

                  
	 	 	 	
                    Date

                  
	 	 	 	 
	 	 	 	 
	 	
                    CAPITAL
                      BANK CORPORATION

                  	 	 
	 	 	 	 
	 	 	 	 
	 	
                    By:  /s/  B.
                      Grant
                      Yarber

                  	 	
                    January
                      31, 2008

                  
	 	 	 	
                    Date

                  
	 	 	 	 
	 	 	 	 
	 	 	 	 

          

          

            
              
                 

              

              
                -
                  8
                  -escrowagreement.htm

    Exhibit
      10.1

    EXECUTION
      VERSION

    ESCROW
      AGREEMENT

    

    

    THIS
      ESCROW AGREEMENT (as the same may
      be amended or modified from time to time and including any and all written
      instructions given to “Escrow Agent” (hereinafter defined) pursuant hereto, this
“Escrow
      Agreement”) is made and entered into as of November 21, 2007, by
      and  among Perficient, Inc., a Delaware corporation (“Party
      A”),
      ePairs Inc. (“Party
      B”,
      and together with Party A, sometimes referred to collectively as the “Parties”),
      and JPMorgan Chase Bank, N.A. (the “Escrow
      Agent”).

    

    WHEREAS,
      Party A and Party B
      are parties to that certain Asset Purchase Agreement dated as of November 21,
      2007 (the “Purchase
      Agreement”); and

    

    WHEREAS,
      in connection with
      the closing of the transactions contemplated by the Purchase Agreement (the
      “Closing”),
      Party A has agreed to deposit into escrow with the Escrow Agent one or more
      certificates in the name of Party B evidencing in the aggregate 41,581 shares
      of
      common stock, par value $0.001 per share, of Party A (“Buyer
      Common
      Stock”) (such shares referred to herein as the “Escrowed
      Shares”), to be held by the Escrow Agent pursuant to the terms and
      conditions set forth in this Agreement and the Purchase Agreement pending the
      occurrence of certain events set forth herein and therein; and

    

    WHEREAS,
      the purpose of the
      Escrowed Shares is to secure claims under Article X of the Purchase Agreement
      (“Indemnification
      Claims”); and

    

    WHEREAS,
      Escrow Agent is
      willing to serve in such capacity on the terms and conditions hereinafter set
      forth.

    

    NOW
      THEREFORE, in
      consideration of the foregoing and of the mutual covenants hereinafter set
      forth, the parties hereto agree as follows:

    

    1.           
      Appointment.  The
      Parties hereby appoint the Escrow Agent as their escrow agent for the purposes
      set forth herein, and the Escrow Agent hereby accepts such appointment under
      the
      terms and conditions set forth herein.

    

    2.           
      Definitions.  Unless
      otherwise defined herein, each capitalized term used in this Agreement shall
      have the meaning ascribed to such term in the Purchase Agreement.

    

    3.           
      Authority
      of Party A.  Each of the Parties hereto agrees that Party A
      shall have authority to settle all Indemnification Claims in accordance with
      Article X of the Purchase Agreement on behalf of any of the affiliates of Party
      A.  Unless the context otherwise requires, any references to
      Party A contained herein shall be deemed to be references to Party A and
      its affiliates.  Party A hereby represents and warrants that Party A
      has actual authority to settle all Indemnification Claims on behalf of any
      of
      the affiliates of Party A.

    

    4.           
      Authority
      of Party B.  Prior to the distribution of the Escrowed Shares,
      if any, each of the Parties hereto agree that Party B shall have authority
      to
      settle all claims under this Agreement or the Purchase Agreement on behalf
      of
      any stockholder who is entitled to receive a part of the Escrowed Shares upon
      the release and distribution from this escrow.  Unless context
      otherwise requires, any references to Party B contained herein shall be deemed
      to be references to Party B and its affiliates and to the extent the Escrowed
      Shares have been transferred or assigned, to the record owners of the Escrowed
      Shares.

     

    5.           
      Deposit
      of Escrowed Shares.

    

    (a)           
      Promptly following the date of this Escrow Agreement, Party A shall instruct
      Continental Stock Transfer & Trust Company (“Continental”)
      to deliver the Escrowed Shares and any stock powers received by Continental
      in
      connection with the Escrowed Shares to the Escrow Agent.  The Escrowed
      Shares shall constitute an escrow fund (the “Escrow
      Fund”) for the satisfaction of Indemnification Claims of the Purchaser
      Indemnitees under

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    the
      Purchase Agreement.  The Escrow Fund shall not be subject to any lien,
      attachment, trustee process or any other judicial process of any creditor of
      any
      person, including any Party hereto.  The Escrow Agent agrees to accept
      delivery of the Escrowed Shares and the stock powers and to hold the Escrowed
      Shares and the stock powers in an escrow account, subject to the terms and
      conditions of this Escrow Agreement.  Receipt of the Escrow Fund shall
      be confirmed by Escrow Agent as soon as practicable by account statement, and
      any discrepancies in any such account statement shall be noted by Parties to
      Escrow Agent within thirty (30) calendar days after receipt
      thereof.  Failure to inform Escrow Agent in writing of any
      discrepancies in any such account statement within said thirty (30) day period
      shall conclusively be deemed confirmation of such account statement in its
      entirety.

    

    (b)           
      Each record owner of the Escrowed Shares shall be entitled to exercise all
      voting rights with respect to such owner’s Escrowed Shares.

    

    (c)           
      Party A and Party B agree between themselves, for the benefit of Party A
      and the Escrow Agent, that any securities or other property distributable
      (whether by way of dividend, stock split or otherwise) in respect of or in
      exchange for any Escrowed Shares shall not be distributed to the record owners
      of such Escrowed Shares, but rather shall be distributed to and held by the
      Escrow Agent in the Escrow Fund.  Ordinary cash dividends will be paid
      by Party A directly to the record owners of such Escrowed Shares and not to
      the
      Escrow Agent.  Unless and until the Escrow Agent shall actually
      receive such additional securities or other property, it may assume without
      inquiry that the Escrowed Shares currently being held by it in the Escrow Fund
      are all that the Escrow Agent is required to hold.  At the time any
      Escrowed Shares are required to be released from the Escrow Fund to any Person
      pursuant to this Agreement, any securities or other property previously received
      by the Escrow Agent in respect of or in exchange for such Escrowed Shares shall
      be released from the Escrow Fund to such Person.

    

    6.           
      Release
      Date.  For purposes of this Agreement, the “Release
      Date” shall be November 21, 2008.

    

    7.           
      Administration
      of Escrow Fund.  Except as otherwise provided herein, the
      Escrow Agent shall administer the Escrow Fund as follows:

    

    (a)           
      If, as of the Release Date, the Escrow Agent has not received written notice
      of
      any Indemnification Claims, then the Escrowed Shares, less the amount of all
      Claimed Amounts (as defined below) that have not been paid or otherwise resolved
      as of the Release Date (the “Retained
      Amount”) shall promptly (and in any event no later than 10 Business Days
      thereafter) be released to Party B or to the record owners of such Escrowed
      Shares as detailed in a written notice from Party B detailing the delivery
      instructions.  Upon resolution of all Claim Notices (as defined below)
      made prior to the Release Date, that portion of the Retained Amount that is
      not
      paid to Party A in satisfaction of such Claim Notices shall immediately be
      disbursed to Party B or to the record owners of the Escrowed Shares as set
      forth
      in Party B’s delivery instructions delivered as of the Release
      Date.

    

    (b)           
      Subject to the terms and conditions set forth in Section 10.04 of the Purchase
      Agreement, if, at any time prior to 5:00 p.m. Central Time on November 21,
      2008,
      Party A desires to make a claim against the Escrow Fund with respect to any
      Indemnification Claim, then Party A shall, on or prior 5:00 p.m. Central Time
      on
      November 21, 2008, deliver a written claim notice (a “Claim
      Notice”) to Party B and to the Escrow Agent.  Such Claim Notice
      shall contain (i) a description and a good faith estimate of the amount of
      any
      Damages incurred or reasonably expected to be incurred by Party A (the “Claimed
      Amount”); (ii) a statement that Party A is entitled to indemnification
      under Article X of the
      Purchase Agreement for such Damages; and (iii) a demand for
      payment.  The number of Escrowed Shares, if any, to be released shall
      be determined in accordance with Section7(d)
      below.

    

    (c)           
      Prior to 5:00 p.m. Central Time on the 30th day after receipt by Escrow Agent
      of
      a Claim Notice, Party B may deliver to Party A and to the Escrow Agent a written
      response (the “Response
      Notice”) in which Party B may:  (i) agree that the full Claimed
      Amount may be released from the Escrow Fund to Party A; (ii) agree that part,
      but not all, of the Claimed Amount (the “Agreed
      Amount”) may be released from the Escrow Fund to Party A; or (iii)
      indicate that no part of the Claimed Amount may be released from the Escrow
      Fund
      to Party A.  Any part of the Claimed Amount that is not to be released
      to Party A shall be the “Contested
      Amount.”

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    

    (A)           
      If Party B does not deliver a Response Notice within such 30-day period, then
      Party B shall be deemed to have indicated that the entire Claimed Amount may
      be
      released from Escrow Fund to Party A.

    

    (B)           
      If Party B delivers a Response Notice agreeing that the full Claimed Amount
      may
      be released from the Escrow Fund to Party A, the Escrow Agent shall promptly
      following the receipt of the Response Notice, deliver to Party A such Claimed
      Amount.

    

    (C)           
      If Party B delivers a Response Notice agreeing that part, but not all, of the
      Claimed Amount may be released from the Escrow Fund to Party A, the Escrow
      Agent
      shall promptly following the receipt of the Response Notice deliver to Party
      A
      Agreed Amount.

    

    (D)           
      If Party B delivers a Response Notice indicating that there is a Contested
      Amount, Party B and Party A shall attempt in good faith to resolve the dispute
      related to the Contested Amount. If Party A and Party B shall resolve such
      dispute, such resolution shall be binding on Party B and Party A and any other
      Purchaser Indemnitee and Seller Indemnitee, as applicable, and a settlement
      agreement shall be signed by Party A and Party B and sent to the Escrow Agent,
      who shall, upon receipt thereof, if applicable, release Escrowed Shares, if
      any,
      from the Escrow Fund in accordance with the specific instructions provided
      in
      such agreement.

    

    (E)           
      If Party B and Party A are unable to resolve the dispute relating to any
      Contested Amount within 45 days after the delivery of the Claim Notice, the
      settlement of such Contested Amount shall take place by a binding arbitration
      proceeding which shall take place in Phoenix, Arizona, unless an alternative
      location is otherwise mutually agreed to by Party A and Party B, and be
      conducted by an arbitrator who has not been affiliated with or engaged by either
      party for a period of five years preceding the commencement of the arbitration
      proceeding, and the Escrow Agent shall continue to hold the Contested Amount
      until Escrow Agent receives either: (i) a written notice signed by Party A
      and
      Party B, providing specific written instructions regarding the delivery of
      the
      Contested Amount, if any, to be released from the Escrow Fund; or (ii) a final
      arbitration decision accompanied by a legal opinion by counsel of the presenting
      Party, in accordance with the following procedures, providing specific written
      instructions regarding the delivery of any or all of such Contested Amount.
      The
      Contested Amount shall be settled in accordance with the Expedited Procedures
      of
      the Commercial Arbitration Rules of the American Arbitration Association. The
      arbitrator's decision shall relate solely to whether Party A is entitled to
      receive the Contested Amount (or a portion thereof) from the Escrow Fund
      pursuant to the applicable terms of the Purchase Agreement and this Escrow
      Agreement. The final decision of the arbitrator shall be furnished to Party
      A,
      Party B and the Escrow Agent in writing and shall constitute the conclusive
      determination of the issue in question, be binding upon Party A, Party B and
      the
      Escrow Agent. The prevailing party in any arbitration (which determination
      shall
      be made by the arbitrator) shall be entitled to an award of attorneys’ fees and
      costs to be paid by the losing party (which determination shall be made by
      the
      arbitrator), and the losing party shall also be liable for all costs of
      arbitration, including, but not limited to, the compensation to be paid to
      the
      arbitrator in any proceeding and the transcript and other expenses of such
      proceeding.

    

    (d)           
      In the event Party B has transferred record ownership of any of the Escrowed
      Shares, any amounts distributed to Party A from the Escrow Fund shall be
      satisfied pro rata from each record owner’s Escrowed Shares.

    

    (e)           
      The number of Escrowed Shares, if any, to be released in payment and settlement
      of any Claimed Amount, Agreed Amount or all or any portion of the Contested
      Amount which may be awarded to Party A pursuant to Section 7(c)(D) or
Section
      7(c)(E)
      above shall be determined by dividing such Claimed Amount, Agreed Amount or
      award, as applicable, by the average closing sale price per share of Buyer
      Common Stock as reported on the Nasdaq Global Select Market for the 30
      consecutive trading days ending on the date that is one trading day immediately
      preceding the release of such shares (as adjusted as appropriate to reflect
      any
      stock splits, stock dividends, combinations, reorganizations, reclassifications
      or similar events).  The Escrow Agent will not be responsible for
      determining the share price.

    

    8.           
      Escrow
      Agent.  The Escrow Agent undertakes to perform only such duties
      as are expressly set forth herein and no duties shall be implied. The Escrow
      Agent shall neither be responsible for, nor chargeable with,

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    knowledge
      of, nor have any requirements to comply with, the terms and conditions of any
      other agreement, instrument or document between the Parties, in connection
      herewith, if any, including without limitation, the Purchase Agreement (the
      “Underlying Agreement”), nor shall the Escrow Agent be required to determine if
      any person or entity has complied with any such agreements, nor shall any
      additional obligations of the Escrow Agent be inferred from the terms of such
      agreements, even though reference thereto may be made in this Escrow
      Agreement.  In the event of any conflict between the terms and
      provisions of this Escrow Agreement, those of the Underlying Agreement, any
      schedule or exhibit attached to the Escrow Agreement, or any other agreement
      among the Parties, the terms and conditions of this Escrow Agreement shall
      control.  The Escrow Agent may rely upon any written notice, document,
      instruction or request furnished to it hereunder and believed by it to be
      genuine and to have been signed or presented by the proper party or
      parties.  The Escrow Agent shall be under no duty to inquire into or
      investigate the validity, accuracy or content of any such document, notice,
      instruction or request.  The Escrow Agent shall have no duty to
      solicit any payments which may be due it or the Escrow Fund.  The
      Escrow Agent shall not be liable for any action taken or omitted by it in good
      faith except to the extent that a final adjudication of a court of competent
      jurisdiction determines that the Escrow Agent's gross negligence or willful
      misconduct was the primary cause of any loss to either of the
      Parties.  The Escrow Agent may execute any of its powers and perform
      any of its duties hereunder directly or through agents or attorneys (and shall
      be liable only for the careful selection of any such agent or attorney) and
      may
      consult with counsel, accountants and other skilled persons to be selected
      and
      retained by it.  The Escrow Agent shall not be liable for anything
      done, suffered or omitted in good faith by it in accordance with the advice
      or
      opinion of any such counsel, accountants or other skilled persons except to
      the
      extent that a final adjudication of a court of competent
      jurisdiction determines that the Escrow Agent's gross negligence or willful
      misconduct was the primary cause of any loss to either of the
      Parties.

    

     In
      the event that the Escrow Agent shall be uncertain as to its duties or rights
      hereunder or shall receive instructions, claims or demands from any party hereto
      which, in its opinion, conflict with any of the provisions of this Escrow
      Agreement, it shall be entitled to refrain from taking any action and its sole
      obligation shall be to keep safely all property held in escrow until it shall
      be
      directed otherwise in writing by all of the other parties hereto or by a final
      order or judgment of a court of competent jurisdiction.  The Escrow
      Agent may interplead all of the assets held hereunder into a court of competent
      jurisdiction or may seek a declaratory judgment with respect to certain
      circumstances, and thereafter be fully relieved from any and all liability
      or
      obligation with respect to such interpleaded assets or any action or nonaction
      based on such declaratory judgment.  The parties hereto other than the
      Escrow Agent agree to pursue any redress or recourse in connection with any
      dispute without making the Escrow Agent a party to the same.  Anything
      in this Escrow Agreement to the contrary notwithstanding, in no event shall
      the
      Escrow Agent be liable for special, indirect or consequential loss or damage
      of
      any kind whatsoever (including but not limited to lost profits), even if the
      Escrow Agent has been advised of the likelihood of such loss or damage and
      regardless of the form of action. Escrow
      Agent may rely on the validity, accuracy and content of the statements contained
      any written notice, document, instruction, or request furnished to it hereunder
      by Party A and Party B without further investigation, inquiry or
      examination.

    

    9.           
      Succession.  The
      Escrow Agent
      may resign and be discharged from its duties or obligations hereunder by giving
      its written resignation to the Parties.  Such resignation shall take
      effect on the earlier of (a) a successor escrow agent being in place and (b)
      30
      days after such resignation is given to the Parties.  In such event,
      Party A may appoint a successor escrow agent.  If Party A fails to
      appoint a successor escrow agent prior to the expiration of 30 days following
      receipt of the notice of resignation, the Escrow Agent may petition any court
      of
      competent jurisdiction for the appointment of a successor escrow agent or for
      other appropriate relief, and any such resulting appointment shall be binding
      upon all parties hereto.  The successor escrow agent shall execute and
      deliver to the Escrow Agent an instrument accepting such appointment and the
      successor escrow agent shall, without further acts, be vested with all the
      estates, property rights, powers and duties of the predecessor Escrow Agent
      as
      if originally names as Escrow Agent herein.  The Escrow Agent shall
      act in accordance with written instructions from Party A and Party B as to
      the
      transfer of the Escrow Fund to a successor escrow agent.  Any entity
      into which the Escrow Agent may be merged or converted or with which it may
      be
      consolidated, or any entity to which all or substantially all the escrow
      business may be transferred, shall be the Escrow Agent under this Escrow
      Agreement without further act.

    

    10.           
      Removal
      of Escrow Agent.  The Escrow Agent may be removed at any time
      by mutual agreement of Party A and Party B by giving not less than 30 days’
prior written notice to the Escrow Agent.  Prior to
      the

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    expiration
      of such 30-day period, Party A and Party B shall designate, by mutual consent,
      a
      successor escrow agent.  If no successor escrow agent is appointed
      within such 30-day period, the Escrow Agent may deposit the amounts remaining
      in
      the Escrow Fund with a court of competent jurisdiction located in Houston,
      Texas, whereupon the Escrow Agent shall be discharged of all duties and
      obligations hereunder.

    

    11.           
      Compensation
      and Reimbursement. 
Party
      A agrees to (a)
      pay the Escrow Agent upon execution of this Escrow Agreement and from time
      to
      time thereafter reasonable compensation for the services to be rendered
      hereunder, which unless otherwise agreed in writing shall be as described in
      Annex II attached hereto, and (b) pay or reimburse the Escrow Agent upon
      request for all expenses, disbursements and advances, including reasonable
      attorney's fees and expenses, incurred or made by it in connection with the
      preparation, execution, performance, delivery, modification and termination
      of
      this Escrow Agreement.

    

    12.           
      Indemnity. 
The
      Parties shall
      jointly and severally indemnify, defend and save harmless the Escrow Agent
      and
      its directors, officers, agents and employees (the “Indemnitees”)
      from and against any and all loss, liability or expense (including the fees
      and
      expenses of in house or outside counsel and experts and their staffs and all
      expense of document location, duplication and shipment) arising out of or in
      connection with (a) the Escrow Agent's execution and performance of this Escrow
      Agreement, except in the case of any indemnitee to the extent that such loss,
      liability or expense is finally adjudicated to have been primarily caused by
      the
      gross negligence or willful misconduct of such indemnitee, or (b) its following
      any instructions or other directions from Party A or Party B, except to the
      extent that its following any such instruction or direction is expressly
      forbidden by the terms hereof.  The Parties hereto acknowledge that
      the foregoing indemnities shall survive the resignation or removal of the Escrow
      Agent or the termination of this Escrow Agreement.  The Parties hereby
      grant the Escrow Agent a lien on, right of set-off against and security interest
      in the Escrow Fund for the payment of any claim for indemnification,
      compensation, expenses and amounts due hereunder.

    

    13.           
      Account
      Opening Information/TINs.

    

    IMPORTANT
      INFORMATION ABOUT PROCEDURES
      FOR OPENING A NEW ACCOUNT

    

    Patriot
      Act
      Disclosure.  Section
      326 of the Uniting and Strengthening America by Providing Appropriate Tools Required
      to Intercept
      and Obstruct Terrorism Act of 2001 (“USA
      PATRIOT Act”)
      requires the Escrow Agent to implement
      reasonable procedures to verify the identity of any person that opens a new
      account with it.  Accordingly, the Parties acknowledge that Section
      326 of the USA
      PATRIOT Act and the Escrow Agent’s
      identity verification procedures
      require the Escrow Agent to obtain information which may be used to confirm
      the
a Party’s
      identity, including, without
      limitation, name, address and organizational documents
      (“Identifying
      Information”).  The
      Parties agree to
      provide the Escrow Agent with and consent to the Escrow Agent obtaining from
      third parties any such Identifying Information required as a condition of
      opening an account with or using any service provided
      by the Escrow
      Agent.

    

    TINs.
Tax
      Matters.  The Parties
      each represent that its correct Taxpayer Identification Number (“TIN”)
      assigned by the Internal Revenue Service (“IRS”)
      or
      any other taxing authority is set forth on the signature page hereof.  In
      addition, all interest or other income earned under the Escrow Agreement shall
      be reported by the recipient to the Internal Revenue Service or any other taxing
      authority.  Notwithstanding such written directions, Escrow Agent
      shall report and, as required, withhold any taxes as it determines may be
      required by any law or regulation in effect at the time of the
      distribution.  To the extent that any portion of the principal amount
      of the Escrowed Fund represents part or all of the purchase price under the
      Purchase Agreement, Party B shall provide all information required for Escrow
      Agent to perform tax reporting on IRS Form 1099-B on or prior to each
      distribution. Unless otherwise directed in a joint written instruction executed
      by Party A and Party B, Escrow Agent shall report to the IRS and as appropriate
      withhold and remit taxes to the IRS, or to any other taxing authority as
      required by law, based upon the information or documentation so
      provided.  Escrow Agent shall be entitled to rely on such information
      and documentation and shall not be responsible for and shall be indemnified
      by
      Party B for any additional tax, interest or penalty arising from the inaccuracy
      or late receipt of such information or documentation.

    

    Party
      B
      will provide Escrow Agent on or before the effective date of the Escrow
      Agreement and at appropriate times thereafter, including prior to any
      disbursement, a detailed schedule indicating the allocation of the
      disbursement

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    amount
      from the Escrow Fund between (i) principal amount, (ii) imputed interest to
      be
      reported on IRS Form 1099-INT or 1042S or (iii) Original Issue Discount (“OID”)
      to
      be reported on IRS Form 1099-OID along with the relevant payee tax information,
      documentation, and proportionate interest thereof. Escrow Agent shall report
      to
      the IRS and any other taxing authority as required by law based upon the
      information so provided. Escrow Agent shall be entitled to rely on such schedule
      and shall not be responsible for and shall be indemnified by Party B for any
      additional tax, interest or penalty arising from the inaccuracy or late receipt
      of such schedule.

    

    In
      addition, Party B shall provide to the Escrow Agent a schedule of all interest
      or other income earned under the Escrow Agreement which shall be reported by
      the
      Escrow Agent to the IRS, or any other taxing authority, on IRS Form 1099 or
      1042S (or other appropriate form) as income earned from the Escrow at
      disbursement, to the extent required by law.  Any other tax returns
      required to be filed will be prepared and filed by Party A and/or Party B with
      the IRS and any other taxing authority as required by law, including but not
      limited to any applicable reporting or withholding pursuant to the Foreign
      Investment in Real Property Tax Act (“FIRPTA”).
      Party A and Party B acknowledge and agree that Escrow Agent shall have no
      responsibility for the preparation and/or filing of any tax return or any
      applicable FIRPTA reporting or withholding with respect to the Escrow Fund
      or
      any income earned by the Escrow Fund.  Party A and Party B further
      acknowledge and agree that any taxes payable from the income earned on the
      investment of any sums held in the Escrow Fund shall be paid by Party A and/or
      Party B respectively as required by law. In the absence of written direction
      from Party A and Party B, all proceeds of the Escrow Fund shall be retained
      in
      the Escrow Fund and reinvested from time to time by the Escrow Agent as provided
      in this Escrow Agreement.  Escrow Agent shall withhold any taxes it
      deems appropriate, including but not limited to required withholding in the
      absence of proper tax documentation, and shall remit such taxes to the
      appropriate authorities.

    

    14.           
      Notices. 
All
      communications hereunder shall be in
      writing and shall be deemed to be duly given and received:

    

          (a)           
      upon delivery if delivered
      personally or upon confirmed transmittal if by facsimile;

             
      (b)            on the next Business
      Day (as
      hereinafter defined) if
      sent by overnight courier;
      or

            
(c)    four
Business
      Days after mailing
      if mailed by prepaid registered mail, return receipt requested, to the
      appropriate notice address set forth below or at such other address as any
      party
      hereto may have furnished 

               to the other parties
      in writing by registered mail, return receipt requested. 

     

    
      	
              If
                to Party A:

            	
              Perficient,
                Inc. 

            

    

    520
      Maryville Centre Drive, Suite
      400

    St.
      Louis,
      Missouri  63141

    Attention:  Paul
      E. Martin,
      Chief Financial Officer

    Phone:  314.995.8810

    Facsimile:  314.995.8802

    

    with
      a
      copy (which shall not constitute notice) to:

     

    Vinson
      & Elkins LLP

    The
      Terrace 7

    2801
      Via
      Fortuna, Suite 100

    Austin,
      Texas  78746

    Attention:  J.
      Nixon Fox III, Esq.

    Phone:  512.542.8427

    Facsimile:  512.236.3216

    

    

    
      	
              If
                to Party B:

            	
              ePairs
                Inc. 

            

    

    20370
      Town Center Lane, Suite B255

    Cupertino,
      California 95014

    Attention:  Kumar
      Nathan, President and Chief Executive Officer

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    Phone: 
      408.973.8466

    Facsimile:   408.973.8499

    

    with
      a
      copy (which shall not constitute notice) to:

     

    Ropers
      Majeski Kohn Bentley PC

    80
      N.
      First Street

    San
      Jose,
      California  95113

    Attn: 
      Michael J. Ioannou, Esq.

    Phone: 
      408.947.4802

    Facsimile: 
      408.918.4501

    

    

    
      	
              If
                to the Escrow Agent:

            	
              JPMorgan
                Chase Bank, N.A. 

            

    

    712
      Main
      Street, 5th Floor South, TX2 S037

    Houston,
      Texas  77002

    Attention:  Luis
      Bustamante, Escrow Services

    Fax
      No.:
      (713) 216-6927

    

    Notwithstanding
      the above, in the case of communications delivered to the Escrow Agent pursuant
      to (b) and (c) of this Section 14, such
      communications shall be deemed to have been given on the date received by the
      Escrow Agent.  In the event that the Escrow Agent, in its sole
      discretion, shall determine that an emergency exists, the Escrow Agent may
      use
      such other means of communication as the Escrow Agent deems
      appropriate.  “Business
      Day” shall mean any day
      other than a
      Saturday, Sunday or any other day on which the Escrow Agent located at the
      notice address set forth above is authorized or required by law or executive
      order to remain closed.

    

    15.            Security
      Procedures. 
In
      the event funds transfer
      instructions are given (other than in writing at the time of execution of this
      Escrow Agreement, as indicated in Section 9 above),
      whether in writing, by telecopier or otherwise, the Escrow Agent is authorized
      to seek confirmation of such
      instructions by telephone call-back to the person or persons designated on
      Annex I hereto, and the
      Escrow Agent may rely upon the confirmation of anyone purporting to be the
      person or persons so designated.  The persons and telephone numbers
      for call-backs may be changed only in a writing actually received and
      acknowledged by the Escrow Agent. If the Escrow Agent is unable to contact
      any
      of the authorized representatives identified in Annex I, the Escrow Agent is
      hereby authorized
      to seek confirmation of such instructions by telephone call-back to any one
      or
      more of your executive officers, (“Executive
      Officers”), which shall
      include the titles of President or Chief Financial Officer as the Escrow Agent
      may select.  Such Executive Officer shall deliver to the Escrow Agent
      a fully executed Incumbency Certificate, and the Escrow Agent may rely upon
      the
      confirmation of anyone purporting to be any such officer. The Escrow Agent
      and
      the beneficiary's bank in any funds transfer may rely solely upon any account
      numbers or similar identifying numbers provided by Party A or Party B to
      identify (a) the beneficiary, (b) the beneficiary's bank, or (c) an intermediary
      bank.  The Escrow Agent may apply any of the escrowed funds for any
      payment order it executes using any such identifying number, even when its
      use
      may result in a person other than the beneficiary being paid, or the transfer
      of
      funds to a bank other than the beneficiary's bank or an intermediary bank
      designated. The parties to this Escrow Agreement acknowledge that these security
      procedures are commercially reasonable.  Party A and Party B agree
      that repetitive or standing settlement instructions will be effective as the
      funds transfer instructions of Party A and Party B, whether or not authorized,
      if such settlement instructions are verified pursuant to the security procedure
      provided herein or such other security procedure that the Escrow Agent, Party
      A
      and Party B may agree to.

    

    16.           
      Miscellaneous. 
The
      provisions of this
      Escrow Agreement may be waived, altered, amended or supplemented, in whole
      or in
      part, only by a writing signed by all of the parties hereto.  Neither
      this Escrow Agreement nor any right or interest hereunder may be assigned in
      whole or in part by any party, except as provided in Sections 9 and 10,
      without the prior
      consent of the other parties.  This Escrow Agreement shall be binding
      upon each of the parties hereto and each of their respective successors and
      assigns, if any.  Nothing in this Escrow Agreement is intended to
      confer, or shall be deemed to confer, any rights or remedies upon any person
      or
      entity other than the parties hereto and their successors and
      assigns.  This Escrow Agreement shall inure to the benefit of: Party
      A, Party B, Escrow Agent and their respective successors and assigns, if any,
      of
      the foregoing.  This Escrow

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     Agreement
      shall be governed by and construed under the laws of the State of New
      York.  Each party hereto irrevocably waives any objection on the
      grounds of venue, forum non-conveniens or any similar grounds and irrevocably
      consents to service of process by mail or in any other manner permitted by
      applicable law and consents to the jurisdiction of the courts located in the
      State of New York.  The parties further hereby waive any right to a
      trial by jury with respect to any lawsuit or judicial proceeding arising or
      relating to this Escrow Agreement.  No party to this Escrow Agreement
      is liable to any other party for losses due to, or if it is unable to perform
      its obligations under the terms of this Escrow Agreement because of, acts of
      God, fire, war, terrorism, floods, strikes, electrical outages, equipment or
      transmission failure, or other causes reasonably beyond its
      control.  This Escrow Agreement and the other agreements referred to
      herein set forth the entire understanding of the parties hereto relating to
      the
      subject matter hereof and thereof and supersede all prior agreements and
      understandings among or between any of the parties relating to the subject
      matter hereof and thereof.  Nothing in this Escrow
      Agreement
      shall derogate from, or modify in any respect any of the terms and provisions
      of
      the Purchase Agreement, including Article X thereof, with respect to
      indemnification.  In the event any provision of this Escrow
      Agreement shall be held invalid or unenforceable by any court of competent
      jurisdiction, such holding shall not invalidate or render unenforceable any
      other provision of this Escrow Agreement and each and every other provision
      of
      this Escrow Agreement shall continue in full force and effect.  The
      waiver by any party hereto of a breach of any provision of this Escrow Agreement
      shall not operate or be construed as a waiver of any other or subsequent breach
      by any party.  This Escrow Agreement may be executed in one or more
      counterparts, each of which shall be deemed an original, but all of which
      together shall constitute one and the same instrument. All signatures of the
      parties to this Escrow Agreement may be transmitted by facsimile, and such
      facsimile will, for all purposes, be deemed to be the original signature of
      such
      party whose signature it reproduces, and will be binding upon such
      party.

    

    17.           
      Termination. 
      This Escrow Agreement shall terminate upon the earliest occurrence of any of
      the
      following events: (a) the written agreement of Party A and Party B; or
      (b) upon the delivery by Escrow Agent of all of the Escrow Fund in
      accordance with the terms of this Agreement; provided, however, that Sections 7(c) and
11
      shall
      survive any termination of this Agreement.

    

    18.           
      Compliance
      with Court Orders.  In the event
      that any
      escrow property shall be attached, garnished or levied upon by any court order,
      or the delivery thereof shall be stayed or enjoined by an order of a court,
      or
      any order, judgment or decree shall be made or entered by any court order
      affecting the property deposited under this Escrow Agreement, the Escrow Agent
      is hereby expressly authorized, in its sole discretion, to obey and comply
      with
      all writs, orders or decrees so entered or issued, which it is advised by legal
      counsel of its own choosing is binding upon it, whether with or without
      jurisdiction, and in the event that the Escrow Agent obeys or complies with
      any
      such writ, order or decree it shall not be liable to any of the parties hereto
      or to any other person, firm or corporation, by reason of such compliance
      notwithstanding such writ, order or decree be subsequently reversed, modified,
      annulled, set aside or vacated.

    

    

    [Signature
      Page Follows.]

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the
      parties hereto have executed this Escrow Agreement as of the date set forth
      above.

    

    
      

       

      Tax
        Certification: Taxpayer
        Identification Number (TIN): 74-2853258                                                                                     
        Date: November 21,
        2007

       

      Name
&
        Address: Perficient, Inc.

       

      1120
        South Capital of Texas Highway,
        Building 3, Suite 220

       

      Austin,
        Texas  78746

       

      Customer
        is a (check one):

       

      

    

    
      X
        Corporation                                             
        ___ Partnership

    

    
      ___
        Individual/sole
        proprietor                                         
___
        Trust                                
___ Other _________________

       

      Taxpayer
        is (check if applicable):

       

      X
        Exempt
        from backup withholding

       

      Under
        the penalties of perjury, the undersigned certifies that:

       

      

    

    
      
        	
                (1)

              	
                the
                  number shown above
                  is its correct Taxpayer Identification Number (or it is waiting
                  for a
                  number to be issued to it);

              

      

       

      
        	
                (2)

              	
                it
                  is not subject to backup withholding because: (a) it is exempt
                  from backup
                  withholding or (b) it has not been notified by the Internal Revenue
                  Service (IRS) that it is subject to backup withholding as a result
                  of
                  failure to report all interest or dividends, or (c) the IRS has
                  notified
                  it that it is no longer subject to backup withholding;
                  and

              

      

       

      
        	
                (3)

              	
                the
                  entity is a U.S.
                  person (including a U.S. resident
                  alien).

              

      

       

      

    

    
       (If
        the entity is subject to backup withholding, cross out the words after the
        (2)
        above.)

       

      Investors
        who do not supply a tax identification number will be subject to backup
        withholding in accordance with IRS regulations.

       

      Note:
        The IRS does not require your
        consent to any provision of this document other than the certifications required
        to avoid backup withholding.

       

      

    

    
      	
               

            	
              PARTY
                A 

            

    

    

    
      	
               

            	
              Perficient,
                Inc. 

            

    

    

    

    
      	
              By:
                /s/ Jeffrey S.
                Davis

            	
            

    

    
      	
               

            	
              Printed
                Name: Jeffrey S. Davis 

            

    

    
      	
               

            	
              Title:
                President and Chief Operating Officer

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      

         

      

      Tax
        Certification: Taxpayer
        Identification Number (TIN): ):
        77-0496415                                                                                                
Date: November 21,
        2007

       

      Name
&
        Address: ePairs, Inc.

       

      20370
        Town Center Lane, Suite
        255

       

      Cupertino,
        CA  95014

       

      Customer
        is a (check one):

       

      

    

    
      X
        Corporation                                             ___
        Partnership

    

    
      ___
        Individual/sole
        proprietor                                         ___
        Trust                                
___ Other _________________

       

      Taxpayer
        is (check if applicable):

       

      ___
        Exempt from backup withholding

       

      Under
        the penalties of perjury, the undersigned certifies that:

       

      

    

    
      
        	
                (4)

              	
                the
                  number shown above
                  is its correct Taxpayer Identification Number (or it is waiting
                  for a
                  number to be issued to it);

              

      

       

      
        	
                (5)

              	
                it
                  is not subject to backup withholding because: (a) it is exempt
                  from backup
                  withholding or (b) it has not been notified by the Internal Revenue
                  Service (IRS) that it is subject to backup withholding as a result
                  of
                  failure to report all interest or dividends, or (c) the IRS has
                  notified
                  it that it is no longer subject to backup withholding;
                  and

              

      

       

      
        	
                (6)

              	
                the
                  entity is a U.S.
                  person (including a U.S. resident
                  alien).

              

      

       

      

    

    
       (If
        the entity is subject to backup withholding, cross out the words after the
        (2)
        above.)

       

      Investors
        who do not supply a tax identification number will be subject to backup
        withholding in accordance with IRS regulations.

       

      Note:
        The IRS does not require your
        consent to any provision of this document other than the certifications required
        to avoid backup withholding.

       

      

    

    
      	
               

            	
              PARTY
                B 

            

    

    

    
      	
               

            	
              ePairs
                Inc. 

            

    

    

    

    
      	
              By:
                /s/ Kumar
                Nathan

            	
            

    

    
      	
               

            	
              Printed
                Name:  Kumar Nathan

            

    

    
      	
               

            	
              Title:  President
                and Chief Executive
                Officer 

            

    

    

    JPMORGAN
      CHASE BANK, N.A.

    

    
      	
               

            	
              as
                Escrow Agent 

            

    

    

    

    
      	
               

            	
              By:  
/s/
                Ruth
                Chipongian

            

    

    

    
       

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Annex
      I

    

    

    

    
      	
               

            	
              Telephone
                Number(s) for Call-Backs and 

            

    

    
      	
               

            	
              Person(s)
                Designated
                to Give and Confirm Funds Transfer
                Instructions

            

    

    

    

    
      	
              If
                to Party A:

            	 	 	 	 
	 	 	 	 	 
	
              Name

            	 	
              Telephone
                Number

            	 	
              Signature

            
	
              1.   Paul
                E. Martin

            	 	
              314.785.1470

            	 	 
	 	 	 	 	 
	
              2.   Dick
                Kalbfleish

            	 	
              314.995.8885

            	 	 
	 	 	 	 	 
	 	 	 	 	 
	
              If
                to Party B:

            	 	 	 	 
	 	 	 	 	 
	
              Name

            	 	
              Telephone
                Number

            	 	
              Signature

            
	
              1.   Kumar
                Nathan

            	 	
              408.973.8466

            	 	 
	 	 	 	 	 

    

    

    

    Telephone
      call-backs shall be made to each Party A and Party B if joint instructions
      are
      required pursuant to this Escrow Agreement.  All funds transfer
      instructions must include the signature of the person(s) authorizing said funds
      transfer.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Annex
      II

    

    Escrow
      Agent’s Compensation:

    

    

    

    Attached

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00135-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00135-of-00352.parquet"}]]