SEC Contract Filing

Filing Date: 2016-07-25

Document Content:
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>exhibit10_1.htm
<DESCRIPTION>EXHIBIT 10.1
<TEXT>
<HTML>
<head><title>Exhibit 10.1</title> </head> <body style="FONT-SIZE:12pt; FONT-FAMILY:'Times New Roman'; COLOR:#000000; MARGIN-TOP:0px"> <p style=MARGIN:0px><br></p> <p style="FONT-SIZE:12pt; MARGIN:0px" align=right>&nbsp;<font style=FONT-SIZE:12pt>Exhibit 10.1</font></p> <p style="FONT-SIZE:12pt; MARGIN:0px" align=center><font style=FONT-SIZE:12pt>EMPLOYMENT AGREEMENT</font></p> <p style=MARGIN:0px align=justify><font style=FONT-SIZE:12pt><br></font></p> <p style="FONT-SIZE:12pt; MARGIN:0px; TEXT-INDENT:48px" align=justify><font style=FONT-SIZE:12pt>THIS EMPLOYMENT AGREEMENT (the <font face="Times New Roman"><font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Agreement<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) between GLENN PRILLAMAN (<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Employee<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) and STANLEY FURNITURE COMPANY, INC., a Delaware corporation (the <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Company<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>), is effective as of July 22, 2016 (the <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Effective Date<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>). </font></font></p> <p style=MARGIN:0px align=justify><font style=FONT-SIZE:12pt><br></font></p> <p style="FONT-SIZE:12pt; MARGIN:0px; TEXT-INDENT:48px" align=justify><font style=FONT-SIZE:12pt>WHEREAS, the Company desires to assure that it will have the benefit of the continued service and experience of the Employee, who is a principal executive officer of the Company and an integral part of its management, and the Employee is willing to enter into an agreement to such end upon the terms and conditions set forth in this Agreement; </font></p> <p style=MARGIN:0px align=justify><font style=FONT-SIZE:12pt><br></font></p> <p style="FONT-SIZE:12pt; MARGIN:0px; TEXT-INDENT:48px" align=justify><font style=FONT-SIZE:12pt>NOW, THEREFORE, in consideration of the foregoing and the mutual agreements herein contained, the parties agree as follows:</font></p> <p style=MARGIN:0px align=justify>&nbsp;</p> <p style="MARGIN-BOTTOM:16px; FONT-SIZE:12pt; PADDING-BOTTOM:0px; PADDING-LEFT:0px; MARGIN-LEFT:0px; MARGIN-TOP:0px; TEXT-INDENT:48px" align=justify><font style=FONT-SIZE:12pt>1.&nbsp;&nbsp;&nbsp;&nbsp; <u>Employment</u>. The Company hereby employs the Employee and the Employee hereby accepts employment upon and agrees to the terms and conditions set forth herein.</font></p> <p style="MARGIN-BOTTOM:16px; FONT-SIZE:12pt; PADDING-LEFT:0px; MARGIN-LEFT:0px; MARGIN-TOP:0px; TEXT-INDENT:48px" align=justify><font style=FONT-SIZE:12pt>2.&nbsp;&nbsp;&nbsp;&nbsp; <u>Term</u>. The term of employment under this Agreement (the <font face="Times New Roman"><font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Term<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) shall commence on the Effective Date and continue through December 31, 2017 and shall automatically renew for additional one-year periods thereafter unless either party gives notice on or before November 1 of any calendar year that employment under this Agreement will not continue for an additional period of one year beginning on the following January 1.</font></font></p> <p style="FONT-SIZE:12pt; PADDING-LEFT:0px; MARGIN:0px 0px 16px; PADDING-RIGHT:0px; TEXT-INDENT:48px" align=justify><font style=FONT-SIZE:12pt>3.&nbsp;&nbsp;&nbsp;&nbsp; <u>Compensation</u>.</font></p> <p style="MARGIN-BOTTOM:16px; FONT-SIZE:12pt; PADDING-LEFT:0px; MARGIN-LEFT:0px; MARGIN-TOP:0px; TEXT-INDENT:80px" align=justify><font style=FONT-SIZE:12pt>a.&nbsp;&nbsp; <u>Salary</u>. During the Employee<font face="Times New Roman"><font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s employment hereunder, the Company shall pay the Employee for all services rendered by the Employee a base salary at an annual rate of at least $255,000, with upward adjustments as the Board of Directors of the Company shall deem appropriate (the <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Salary<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>). The Salary shall be payable to the Employee in accordance with the Company<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s usual paying practices, but not less frequently than monthly.</font></font></p> <p style="MARGIN-BOTTOM:16px; FONT-SIZE:12pt; PADDING-BOTTOM:0px; PADDING-LEFT:0px; MARGIN-LEFT:0px; MARGIN-TOP:0px; TEXT-INDENT:80px" align=justify><font style=FONT-SIZE:12pt>b.&nbsp;&nbsp; <u>Annual Bonus</u>. In addition to Salary, the Employee shall be eligible to receive a target annual bonus of 100% of his Salary for each fiscal year of the Company while this Agreement is in effect, subject to performance (the <font face="Times New Roman"><font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Annual Bonus<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>). The Annual Bonus for any fiscal year shall be related to the achievement of certain performance thresholds and objectives to be set at the beginning of each fiscal year by the Board of Directors of the Company (the <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Board<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>). The Annual Bonus (if any) shall be payable promptly following a determination by the Board that the applicable performance criteria have been satisfied but no later than March 15th of the next following year. Nothing in this <u>Section 3(b)</u> shall prohibit Employee from receiving any other bonus amount payable pursuant to any plan app