Document:

Exhibit
10.34

GRIC Communications, Inc.

1421 McCarthy Blvd.

Milpitas, CA  95035

 

 

 

December 5, 2002

 

 

 

 

Kelly James Anderson

1514 Manhattan Avenue

Hermosa Beach, CA  
90254

 

 

Dear Kelly:

It is our pleasure to offer you employment at GRIC Communications, Inc.
(“GRIC”), in the position of Senior Vice President, Worldwide Sales, reporting
to the President, Bharat Davé, at a semi-monthly base salary of $7,708.33,
which is equivalent to $185,000 per year, and is subject to annual review.  We understand you are available to begin
employment with GRIC on January 6, 2003.

You will also have a
sales incentive program, payable quarterly, which is targeted to provide you
with additional annual compensation equal to $185,000 at one hundred percent
(100%) attainment of sales quotas and financial objectives.  In advance of each quarter, you will be
assigned written objectives by your manager, which must be met in order to earn
your sales incentive in such quarter. 
Quarterly bonus payments will be made within thirty (30) days after the
end of the respective quarter in which they are earned.  For the calendar quarter January through
March 2003 only, your incentive compensation will be guaranteed at 100% achievement.

After your acceptance of
this offer, we will recommend to the Board of Directors that you be granted an
option to purchase up to one hundred seventy-five thousand (175,000) shares of
GRIC’s common stock, at an exercise price equal to the closing price of GRIC’s
common stock on The Nasdaq National Market on the date of grant by the Board of
Directors.  We will recommend that this
option be subject to the following vesting schedule: twenty percent (20%) after
ten (10) months and two percent (2%) per month thereafter for the succeeding
forty-month period.   Vesting would
commence on your date of employment.

 

Office of Employment

Kelly Anderson

December 5, 2002

Page 2

 

In the event of an
acquisition or merger of GRIC involving a change of control that occurs within
the first year of your employment, if GRIC or its successor elects to terminate
your employment as Senior Vice President, Worldwide Sales, without cause,
within one (1) year after the effective date of such change of control, then
the option vesting described above shall be accelerated so that fifty percent
(50%) of the number of unvested options shall become vested automatically on
the date of such termination.

Paydays are twice monthly, on the 15th and the last working
day of each month.  You will be eligible
to participate in the full range of employee benefits, including medical,
dental, vision, life, accidental death and dismemberment, disability, 401k,
employee stock purchase, and paid time off plans.  Coverage is available under the terms of the insurance, 401(k),
and paid time off plans on your first day of active employment.  You will be provided with the related
policies and procedures that explain these benefits.

During the period January through June 2003, GRIC will provide you with
access to a standard GRIC corporate apartment in the vicinity of our
headquarters office to facilitate your relocation from Southern California to
the San Francisco Bay area.  It is
understood that you will be based in our headquarters office during your
employment with GRIC, unless otherwise mutually agreed in writing. No other
relocation benefits are being provided by GRIC at this time.

Employment with
GRIC is contingent upon meeting GRIC requirements, which include completing all
necessary work related forms, producing applicable documents as required by the
Immigration Reform and Control Act of 1986 and other such documents.  Failure to comply will result in the
rescinding of our offer of employment.

This letter is not
intended to confer contractual rights of any kind upon any employee, or to
create contractual obligations of any kind on GRIC.  The relationship of GRIC with all of its employees is on an “at
will” basis.  While we expect that the
relationship between you and GRIC will be rewarding and mutually beneficial,
either GRIC or you can terminate the employment relationship at any time with
or without notice and for any reason or for no reason.

Termination
of Employment:  GRIC may terminate your employment at any
time without cause.  If GRIC terminates
your employment without cause, GRIC will provide a severance payment equivalent
to six (6) months’ base salary, payable in accordance with GRIC’s normal
payroll policies.  Additionally, GRIC
will provide you with reimbursement of up to six (6) months of COBRA insurance
coverage.  Such insurance reimbursement
will be provided for up to six (6) months unless comparable benefits are
otherwise provided to you by any third party. 
Such benefits are separate from your then-existing COBRA rights and
extend to GRIC-related insurance benefits at your cost for an additional period
of time.

GRIC may also terminate your employment for cause in its sole
discretion. For the purpose of this Offer of Employment, cause shall be defined
as:

1.                           Failure to continually and substantially
perform the reasonably assigned responsibilities of the position in an
acceptable manner (including without limitation failure to achieve an assigned
quarterly or annual sales quota), gross negligence, gross misconduct, habitual
neglect of duties, criminal acts, violation of any state or federal securities
laws, commission of a felony involving fraud or dishonesty, violation of
written lawful policies 

 

Office of Employment

Kelly Anderson

December 5, 2002

Page 3

 

or written instructions of the Board of Directors, or
commencement of employment or any other business arrangements with another
employer while you are an employee of GRIC.

2.                           Your death, or your total disability
lasting more than 90 days.

Termination of Employment with Cause: 
If GRIC terminates your employment with cause, GRIC will provide you
with a severance payment equivalent to three (3) months’ base salary, payable
in accordance with GRIC’s normal payroll policies.  However, if the cause for termination relates to a violation by
you of state or federal law, then you will receive no severance payment from
GRIC.

Additionally, unless the
cause for termination relates to violation by you of state or federal law, GRIC
will provide you with reimbursement of up to three (3) months of COBRA
insurance coverage.  Such insurance
reimbursement will be provided for up to three (3) months unless comparable
benefits are otherwise provided to you by any third party.  Such benefits are separate from your
then-existing COBRA rights and extend to GRIC-related insurance benefits at
your cost for an additional period of time.

By accepting employment
with GRIC, you agree to be bound by its policies and procedures, including the
above-referenced Employee Non-Disclosure, Conflicts of Interest and Proprietary
Rights Agreement.  This Offer is the
entire initial basic agreement relating to your position, compensation,
reporting relationship and employee benefits. 
By signing below, you acknowledge that you have not been induced to
accept employment by any representations or statements, oral or written, not
contained in this letter.

Welcome to GRIC Communications! 
Please sign below to indicate your acceptance, and return this letter to
me as soon as possible.  Otherwise, this
offer will expire at 12:00 p.m. Pacific Time on December 6, 2002.

 

Sincerely,

 

/s/ David L. Teichmann

 

David L. Teichmann

Senior Vice President, General Counsel & Secretary

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Accepted:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ Kelly Anderson                        December 5, 2002

  	
   

  
	
   

  	
  Kelly Anderson                                          Date

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Anticipated start date:

  	
  January 6, 2003Exhibit 10.35

 

AMENDMENT NO. 1

TO LEASE

 

 

THIS AMENDMENT NO.
1 is made and entered into this 29th day of January, 2003, by and between JOHN
ARRILLAGA, Trustee, or his Successor Trustee UTA dated 7/20/77 (JOHN ARRILLAGA
SURVIVOR’S TRUST) as amended, and RICHARD T. PEERY, Trustee, or his Successor
Trustee UTA dated 7/20/77 (RICHARD T. PEERY SEPARATE PROPERTY TRUST) as
amended, collectively as LANDLORD, and GRIC
COMMUNICATIONS, INC., a California corporation, as TENANT.

 

RECITALS

 

A.    WHEREAS, by Lease Agreement dated January 6,
1998 Landlord leased to Tenant all of that certain 31,165+ square foot
building located at 1421 McCarthy Blvd., Milpitas, California, the details of
which are more particularly set forth in said January 6, 1998 Lease Agreement,
and

 

B.    WHEREAS, said Lease was amended by the
Commencement Letter dated March 20, 1998, which changed the Commencement Date
of the Lease from February 15, 1998 to March 1, 1998 and confirmed the February
28, 2003 Lease Termination Date, and,

 

C.    WHEREAS, said Lease was amended by Letter
Agreement dated April 15, 1998, whereby Landlord acknowledged Tenant’s name
change from “Aimquest Corporation, a California corporation” to “GRIC
Communications, Inc., a California corporation”, and,

 

 

D.    WHEREAS, it is now the desire of the parties
hereto to amend the Lease by (i) extending the Term for five (5) years,
changing the Termination Date from February 28, 2003 to February 29, 2008, (ii)
providing for Landlord to construct certain interior improvements, at
Landlord’s sole cost and expense, on Tenant’s behalf, (iii) amending the Basic
Rent schedule and Aggregate Rent accordingly, (iv) decreasing the Security
Deposit required under the Lease and (v) amending Lease Paragraphs  12 (“Taxes”) and 19 (“Assignment and
Subletting”),   to said Lease Agreement
as hereinafter set forth.

 

AGREEMENT

 

NOW THEREFORE, for
valuable consideration, receipt of which is hereby acknowledged, and in
consideration of the hereinafter mutual promises, the parties hereto do agree
as follows:

 

1.     TERM OF LEASE:  It is agreed between the parties that the
Term of said Lease Agreement shall be extended for an additional five (5)  year period, and the Lease Termination Date
shall be changed from February 28, 2003 to February 29, 2008.

 

2.     IMPROVEMENTS TO BE CONSTRUCTED BY
LANDLORD: Landlord has agreed to provide Tenant, at Landlord’s cost and
expense, the tenant improvements specifically listed below and as shown in
Yellow on Exhibit A attached hereto (“Tenant Improvements”), and
Landlord shall not be responsible for providing any additional interior
improvements:

 

•                                          Expand the Lobby, install tile, and add double doors
leading from the Lobby to the main office area;

•                                          Board Room: add new single level cabinetry, expand
wall lines into adjacent small conference room;

•                                          Combine training/employee meeting room by removing a
wall and add new single level cabinetry;

•                                          Construct a small conference room and a room with a
lock to be used by Tenant as a storage and/or filing room;

•                                          Install monument sign (if permitted by the City of
Milpitas) on the street at McCarthy Blvd.;

•                                          Install storage racks in storage room in center of
Building;

•                                          Install card reader box on one exterior side door;
(Tenant is responsible for the installation and cost of all wiring and
connection of the card reader to Tenant’s security system, which security
system shall also be installed and paid for by Tenant);

 

	
  Initial:

  	
   

  

 

Page 1

 

•                                          New Carpet throughout the Premises to replace existing
carpet (including all expenses related to Landlord (i) temporarily moving
Tenant’s furniture from the areas to be carpeted and (ii) reinstalling said
furniture once the carpet has been installed). 
The carpet will be installed over four weekends, and Tenant agrees to
give Landlord access to accommodate the weekend schedule.  Tenant shall be responsible for removing any
personal items from the areas to be carpeted prior to the end of business on
the Friday before subject areas are carpeted;

•                                          Additional configuration changes per the attached Exhibit
A.

 

The Interior
Improvements detailed above will be constructed by Landlord’s contractors under
Landlord’s supervision, and construction shall commence as soon as reasonably
practical following Landlord’s receipt from Tenant of the executed Amendment
No. 1.  Landlord’s contractors will use
reasonable efforts to minimize the disruption to Tenant’s business; however,
Tenant understands that, except for the carpet installation as noted above,
said Interior Improvements shall be constructed during normal business hours,
and Tenant agrees to cooperate with Landlord’s contractors to insure that the
Interior Improvements are completed in an expeditious manner.

 

3.     REPLACEMENT OF LEASE EXHIBIT B:  It is agreed between the parties hereto,
that upon the completion of the interior Tenant Improvements described in
Paragraph 2 above, Exhibit A to this Amendment No. 1 shall replace
Exhibit B to the Lease, and shall become the basis for Tenant’s restoration
obligations pursuant to Lease Paragraph 8 (“Acceptance and Surrender of
Premises”) and 9 (“Alterations and Additions”).  It is acknowledged by Landlord that Exhibit A hereto
references modifications that have previously been constructed by Tenant, and
that Tenant shall not be required to restore any of the modifications and/or
improvements reflected on Exhibit A at the expiration of the Lease Term.

 

4.     BASIC RENT FOR EXTENDED TERM OF LEASE:  The monthly Basic Rent for the Extended Term
of Lease shall be as follows:

 

On March 1, 2003,
the sum of THIRTY-EIGHT THOUSAND NINE HUNDRED FIFTY-SIX AND 25/100 DOLLARS
($38,956.25) shall be due, and a like sum due on the first day of each month
thereafter through and including February 1, 2004.

 

On March 1, 2004,
the sum of FORTY THOUSAND FIVE HUNDRED FOURTEEN AND 50/100 DOLLARS ($40,514.50)
shall be due, and a like sum due on the first day of each month thereafter
through and including February 1, 2005.

 

On March 1, 2005,
the sum of FORTY-TWO THOUSAND SEVENTY-TWO AND 75/100 DOLLARS ($42,072.75) shall
be due, and a like sum due on the first day of each month thereafter through
and including February 1, 2006.

 

On March 1, 2006,
the sum of FORTY-THREE THOUSAND SIX HUNDRED THIRTY-ONE AND NO/100 DOLLARS
($43,631.00) shall be due, and a like sum due on the first day of each month
thereafter through and including February 1, 2007.

 

On March 1, 2007,
the sum of FORTY-FIVE THOUSAND ONE HUNDRED EIGHTY-NINE AND 25/100 DOLLARS
($45,189.25) shall be due, and a like sum due on the first day of each month
thereafter through and including February 1, 2008.

 

The Aggregate
Basic Rent for the Lease shall be increased by $2,524,365.00 or from
$3,921,567.00 to $6,445,932.00.

 

 

5.     SECURITY DEPOSIT:  Effective March 1, 2003, Tenant’s Security
Deposit shall be decreased by $59,213.50, or from $149,592.00 to $90,378.50.

 

6.     TAXES:  Lease Paragraph 12 (“Taxes”) shall be amended to include the
following language:

 

   “The term “Real Estate Taxes” shall also include supplemental
taxes related to the period of Tenant’s Lease Term whenever levied, including
any such taxes that may be levied after the Lease Term has expired”.

 

7.     ASSIGNMENT AND SUBLETTING: Lease
Paragraph 19 (“Assignment and Subletting”) shall be amended to include the
following language:

 

	
  Initial:

  	
   

  

Page 2

 

“A.   Notwithstanding the foregoing, Landlord and
Tenant agree that it shall not be unreasonable for Landlord to refuse to
consent to a proposed assignment, sublease or other transfer (“Proposed
Transfer”) if the Premises or any other portion of the Property would become
subject to additional or different Government Requirements as a direct or
indirect consequence of the Proposed Transfer and/or the Proposed Transferee’s
use and occupancy of the Premises and the Property.  However, Landlord may, in its sole discretion, consent to such a
Proposed Transfer where Landlord is indemnified by Tenant and (i) Subtenant or
(ii) Assignee, in form and substance satisfactory to Landlord’s counsel, by
Tenant and/or the Proposed Transferee from and against any and all costs,
expenses, obligations and liability arising out of the Proposed Transfer and/or
the Proposed Transferee’s use and occupancy of the Premises and the Property.

 

 

8.     CHOICE OF LAW/VENUE; SEVERABILITY.  This Agreement shall in all respects be
governed by and construed in accordance with the laws of the County of Santa
Clara in the State of California and the venue shall be in Santa Clara
County.  If any provisions of this
Agreement shall be invalid, unenforceable, or ineffective for any reason
whatsoever, all other provisions hereof shall be and remain in full force and
effect.

 

 

9.     AUTHORITY TO EXECUTE.  The parties executing this Agreement hereby
warrant and represent that they are properly authorized to execute this Agreement
and bind the parties on behalf of whom they execute this  Agreement and to all of the terms, covenants
and conditions of this Agreement as they relate to the respective parties
hereto.

 

10.     EXAMINATION OF AMENDMENT:  This Amendment No. 1 shall not be effective
until its execution by both Landlord and Tenant.

 

EXCEPT AS MODIFIED
HEREIN, all other terms, covenants, and conditions of said January 6, 1998
Lease Agreement shall remain in full force and effect.

 

IN WITNESS
WHEREOF, Landlord and Tenant have executed this Amendment No. 1 to Lease as of
the day and year last written below.

 

 

	
  LANDLORD:

  	
   

  	
  TENANT:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  JOHN ARRILLAGA
  SURVIVOR’S

  	
   

  	
  GRIC COMMUNICATIONS,
  INC.

  	
   

  
	
  TRUST 

  	
   

  	
  a California
  corporation

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By

  	
  /s/ John Arrillaga

  	
   

  	
  By

  	
  /s/ Hong Chen

  	
   

  
	
   

  	
  John Arrillaga, Trustee

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Dr. Hong Chen

  	
   

  
	
  Date:

  	
  February 6, 2003

  	
   

  	
  Print or Type Name

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  RICHARD T. PEERY
  SEPARATE

  	
   

  	
  Title:

  	
  Chairman

  	
   

  
	
  PROPERTY TRUST

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By

  	
  /s/ Richard T. Peery

  	
   

  	
  Date:

  	
  February 5, 2003

  	
   

  
	
   

  	
  Richard T. Peery,
  Trustee

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
  February 6, 2003

  	
   

  	
   

  	
   

  
								

 

 

	
  Initial:

  	
   

  

Page 3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00050-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00050-of-00352.parquet"}]]