Exhibit 99.3
HILB, XXXXX AND XXXXXXXX COMPANY
Senior Executive
Employment Agreement With
Xxxxxx X. Xxxxx
EMPLOYMENT AGREEMENT
THIS EMPLOYMENT AGREEMENT (this "Agreement") is made and entered into
on May 10, 2002, by and between Xxxxxx X. Xxxxx, an individual residing in the
City of Atlanta, Georgia (the "Executive"), and HILB, XXXXX AND XXXXXXXX
COMPANY, a Virginia corporation with corporate offices located at 0000 Xxxx
Xxxxx Xxxxx, Xxxxx 000, Xxxx Xxxxx, Xxxxxxxx 00000 (the "Company").
WHEREAS, Executive currently owns a membership interest in Xxxxx Group,
LLC, a Delaware limited liability company ("Xxxxx"), and is the President and
Chief Executive Officer of Xxxxx;
WHEREAS, contemporaneous with the execution of this Agreement, the
Company is entering into a certain purchase agreement (the "Purchase Agreement")
with the members of Xxxxx pursuant to which the Company has agreed to acquire
all of the outstanding membership interests of Xxxxx upon the closing (the
"Closing") of the transactions contemplated by the Purchase Agreement;
WHEREAS, effective on the date of Closing (the "Closing Date"), the
Company desires to employ the Executive as an Executive Vice President of the
Company and desires for the Executive to continue to serve as the President and
Chief Executive Officer of Xxxxx; and
WHEREAS, the Executive is willing to be employed by the Company as an
Executive Vice President and to continue to serve as the President and Chief
Executive Officer of Xxxxx upon the terms and conditions herein set forth;
NOW, THEREFORE, in consideration of the premises and covenants
contained herein, and intending to be legally bound hereby, the parties hereto
agree as follows:
I. Term of Employment.
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(A) The initial term of the employment of the Executive under this
Agreement shall be for the three (3) year period commencing on the Closing Date
and ending on the third anniversary of the Closing Date (the "Initial Term");
provided, however, that commencing on the date two years after the Closing Date,
and on each annual anniversary of such date (such date and each annual
anniversary being hereinafter referred to as the "Renewal Date") unless
previously terminated, the term of employment shall automatically extend so as
to terminate two (2) years from such Renewal Date, unless notice that the term
of employment will not be extended is given by either party to the other at
least 60 days prior to the Renewal Date.
(B) Notwithstanding the foregoing provision (A) of this Section I., the
term of employment of the Executive under this Agreement shall be subject to
earlier termination by:
(1) determination of disability of the Executive pursuant to
Section IV.; or
(2) dismissal of the Executive from his position as Executive
Vice President, pursuant to resolution by the Board of Directors of the
Company, or failure or refusal of the Board of Directors to re-elect
the Executive to the position of Executive Vice President; or
(3) resignation by Executive; or
(4) death of the Executive;
provided, however, that
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(i) in the event of termination for determination of
disability pursuant to Paragraph (1) above, Section IV. shall
apply;
(ii) in the event of termination pursuant to
Paragraph (2) above for "Proper Cause" (defined in Section
V.(A)) or pursuant to Paragraph (3) above for other than "Good
Reason" (defined in Section VI.(A)), Section V.(B) shall
apply;
(iii) in the event of termination pursuant to
Paragraph (2) above without "Proper Cause" (defined in Section
V.(A)) or pursuant to Paragraph (3) above for "Good Reason"
(defined in Section VI.(A)), Section VI.(B) shall apply; or
(iv) in the event of termination due to the death of
the Executive pursuant to Paragraph (4) above, Section VII.
shall apply.
II. Services To Be Rendered.
------------------------
The Company agrees to employ the Executive as an Executive Vice
President of the Company and as the President and Chief Executive Officer of
Xxxxx, subject to the terms, conditions and provisions of this Agreement. The
Executive hereby accepts such employment and agrees that he shall devote his
best efforts, skills and ability to promote the interests of the Company, Xxxxx
and their subsidiaries and affiliates. The Executive agrees that his employment
as Executive Vice President of the Company and as President and Chief Executive
Officer of Xxxxx pursuant to this Agreement is a full time position.
Notwithstanding the foregoing, the Executive may devote a reasonable amount of
his time to serving as an officer and director of other companies affiliated
with the Company; to his personal investments and business affairs, including
service as a director of unaffiliated companies; and to civic, political and
charitable activities; provided however, the Executive shall not accept any
position as a director of any unaffiliated for-profit business organization,
other than positions presently held by him, without prior approval of the Board
of Directors of the Company (which approval will not be unreasonably withheld).
III. Compensation.
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In consideration for the services rendered to the Company under this
Agreement, the Company shall pay and provide to the Executive the following
compensation and benefits:
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(A) Salary.
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During the Initial Term, the Company shall pay the Executive an annual
base salary of $600,000, payable in twenty four semi-monthly installments on the
15th and last business day of each calendar month. This annual base salary shall
be reviewed annually by the Compensation Committee of the Board of Directors
(the "Compensation Committee") to consider appropriate increases, but in no
event shall the amount of the base salary during the Initial Term be reduced.
Following the Initial Term, unless this Agreement is previously terminated, the
Company shall pay the Executive an annual base salary as determined by the
Compensation Committee, but never less than an annual rate of salary of
$300,000.
(B) Annual Incentive Bonus.
----------------------
During the Initial Term, in addition to the base salary to be paid to
the Executive under Section III.(A), the Executive shall be paid an annualized
incentive bonus of $500,000, payable as set forth below. This annual incentive
bonus shall be reviewed annually by the Compensation Committee to consider
appropriate increases, but in no event shall the amount of the annual incentive
bonus during the Initial Term be reduced. For example purposes, the Executive
will be paid an annual incentive bonus of $500,000 for fiscal years 2003 and
2004, payable in February, 2004 and 2005, respectively, $250,000 for the second
half of fiscal year 2002, payable in February 2003, and $250,000 for the first
half of fiscal year 2005, payable in August 2005. Following the Initial Term,
the Executive may be entitled to an annual incentive bonus as established and
modified, from time to time, by the Compensation Committee in its sole
discretion. To the extent Executive is included in any such bonus plans as may
be established by the Compensation Committee, any February 2006 bonus shall be
prorated for admission into such plan as of July 1, 2005. The Executive will not
be entitled to participate in any compensation or bonus plan maintained now or
in the future by Xxxxx, although the Compensation Committee shall have the
authority to modify the foregoing if it so chooses.
(C) Ancillary Benefits.
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The Executive shall also be entitled to vacations, participation in the
Company's Profit Sharing Savings Plan (401K), Executive Voluntary Deferral Plan
and Supplemental Executive Retirement Plan, sick leave benefits, post-retirement
benefit plan, and all other ancillary benefits provided by the Company,
including, but not limited to, group life, health and disability insurance
coverage, consistent with the compensation policies and practices of the Company
from time to time prevailing with respect to persons who are executive officers
of the Company. From and after the Closing Date, Executive's ancillary benefits
under this Agreement shall be provided exclusively by the Company and the
Executive shall not be entitled to receive any ancillary benefits under the
employee or executive benefits plans, programs and policies maintained now or in
the future by Xxxxx, although the Compensation Committee shall have the
authority to modify the foregoing if it so chooses.
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(D) Stock Options and Vesting.
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(1) On the Closing Date, the Executive shall receive 125,000
nonqualified stock options under the Company's 2000 Stock Incentive
Plan (together with any nonqualified stock options granted Executive
pursuant to the Purchase Agreement, the "Closing Date Grant"). The
Executive shall not be entitled to receive any other stock options or
stock grants or awards during the Initial Term. Following the Initial
Term, Executive shall receive such stock option awards each year as
determined by the Compensation Committee in its sole discretion.
(2) The Closing Date Grant shall be granted at the closing
stock price for Company's common stock on the New York Stock Exchange
("NYSE"), on the Closing Date (or the last business day preceding the
Closing Date if the Closing Date is not a NYSE business day), shall
expire seven (7) years after the grant date, shall vest at the rate of
twenty-five percent (25%) for each year of full employment of Executive
after the grant date, and, except as stated below, shall otherwise be
on Company's standard form for nonqualified stock options issued to
Company executives and subject to the Company's 2000 Stock Incentive
Plan. The Closing Date Grant shall contain the following special
vesting terms:
If Executive's employment shall be terminated by Company
without Proper Cause (as defined in Section V.(A)) prior to
four (4) years after the grant date ("Full Vesting Date") or
if the term of Executive's employment is not extended by
Company to the Full Vesting Date or if Executive terminates
his employment for Good Reason (as defined in Section VI.(A))
prior to the Full Vesting Date or if Executive terminates his
employment at the conclusion of the Initial Term, then the
Closing Date Grant shall be fully vested. Termination by
Executive without Good Reason prior to the Full Vesting Date
(except where Executive terminates at the end of the Initial
Term) and termination by the Company for Proper Cause prior to
the Full Vesting date do not result in any acceleration of
vesting.
IV. Disability.
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(A) The term of employment of the Executive may be terminated at the
election of the Company upon the Board of Directors' receiving evidence that the
Executive is disabled as that term is defined in the Group Long Term Disability
Insurance Certificate and Summary Plan Description for the Company's Group
Disability Plan.
(B) In the event of such termination for disability, the Company shall
thereupon be relieved of its obligations to pay any compensation and benefits
under Section III., except for accrued and unpaid items, but shall, in addition,
pay to the Executive such disability compensation as set forth in any disability
plan established by the Company for its executive officers.
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V. Termination For Proper Cause or Without Good Reason.
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(A) The occurrence of any of the following events shall constitute
"Proper Cause" for termination of the employment of the Executive under this
Agreement, at the election of the Board of Directors of the Company:
(1) the Executive shall voluntarily resign as a director,
officer or employee of the Company or any of its affiliates without the
written consent of the Board of Directors of the Company;
(2) the Executive shall breach this Agreement in any material
respect and fail to cure such breach within sixty (60) calendar days
after receiving written notice of such breach from the Company; or
(3) the commission of a fraud, or other criminal act, by the
Executive directly involving the Company or any of its affiliates which
would constitute a felony if prosecuted under criminal law;
provided, however, the inability of the Executive to achieve
favorable results of operations shall clearly not be deemed Proper
Cause for termination hereunder.
(B) In the event of termination of the Executive's employment by the
Company pursuant to Section I.(B)(2) for Proper Cause or by the Executive
pursuant to Section I.(B)(3) other than for "Good Reason" (defined in Section
VI.(A)), the Company shall thereupon be relieved of its obligations to pay any
compensation and benefits under Section III., except for accrued and unpaid
items.
VI. Termination for Good Reason or Without Proper Cause.
----------------------------------------------------
(A) The occurrence of any of the following events shall constitute
"Good Reason" for termination of employment by Executive:
(1) the assignment to the Executive of any duties inconsistent
in any respect with the Executive's position (including status,
offices, titles, reporting requirements, unilaterally requiring
reassignment to a location other than Atlanta, etc.), authority, duties
or responsibilities as contemplated by Section II. of this Agreement,
or any other action by the Company which results in a diminution in
such position, authority, duties or responsibilities, excluding for
this purpose an isolated, insubstantial and inadvertent action not
taken in bad faith and which is remedied by the Company promptly after
receipt of notice thereof given by the Executive; or
(2) any failure by the Company to comply with any of the
provisions of Section III. of this Agreement, other than an isolated,
insubstantial and inadvertent failure not occurring in bad faith and
which is remedied by the Company promptly after receipt of notice
thereof given by the Executive.
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(B) In the event of termination of the Executive by the Company
pursuant to Section I.(B)(2) without Proper Cause (as defined in Section V.(A)
above) or by the Executive pursuant to Section I.(B)(3) for Good Reason (as
defined in Section VI.(A) above), the acceleration of vesting of options
referenced in Section III.(D) shall apply and the Company shall thereafter be
and remain obligated to pay to the Executive (or his estate or designated
beneficiary) the compensation and benefits provided under Section III.(A) and
III.(B) and such benefits under III.(C) as are payable to a terminated employee
until expiration of the term of employment established by Section I.(A). In the
event of a dispute as to whether Executive was terminated for or without "Proper
Cause," or for or without "Good Reason," or regarding the amount of compensation
Executive is entitled to receive under this Section VI., the Company shall be
obligated to continue to pay to the Executive (or his estate or designated
beneficiary) all of the compensation and benefits reserved under Section III.
until the dispute is resolved by an arbitrator pursuant to Section XVII. hereof.
(C) For purposes of calculating the annual incentive bonus payable
under Section III.(B), the Company shall make to the Executive (or his estate or
designated beneficiary), an annual payment equal to the greater of (i) the
highest annual incentive bonus payment received by Executive pursuant to Section
III.(B) for the last two (2) fiscal years prior to the date of termination or
(ii) fifty percent (50%) of his annual base salary.
VII. Death.
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In the event of termination of the Executive's employment pursuant to
Section I.(B)(4) above, the Company shall pay the Executive's estate or
designated beneficiary such death benefits as may be set forth in any life
insurance plan established by the Company for its executive officers.
VIII. Confidentiality.
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For purposes of this Agreement, "Confidential Information" shall mean
any information of a proprietary or confidential nature and trade secrets of the
Company, Xxxxx and their affiliates relating to the business of the Company,
Xxxxx and their affiliates that have not previously been publicly released by
duly authorized representatives of the Company. The Executive agrees to regard
and preserve as confidential all Confidential Information pertaining to the
Company's, Xxxxx' and their affiliates' businesses that has been or may be
obtained by the Executive in the course of his employment with the Company,
whether he has such information in his memory or in writing or other physical
form. The Executive shall not, without written authority from the Company to do
so, use for his personal benefit or his personal purposes, unrelated to business
of the Company, nor disclose to others, either during the term of his employment
hereunder or thereafter, except as required by the conditions of his employment
hereunder, any Confidential Information of the Company, Xxxxx or their
affiliates. This provision shall not apply after the Confidential Information
has been voluntarily disclosed to the public by a duly authorized representative
of the Company, independently developed and disclosed by others, or otherwise
enters the public domain through lawful means. For the purpose of Sections VIII,
IX, X, XI, XII, XIII and XIV, references to the "Company" shall
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include, without limitation, Xxxxx and its subsidiaries and affiliates, whether
or not expressly stated.
IX. Removal Of Documents Or Objects.
--------------------------------
The Executive agrees not to remove from the premises of the Company,
except as an employee of the Company in pursuit of the business of the Company
or any of its affiliates, or except as specifically permitted in writing by the
Company, any document or object containing or reflecting any Confidential
Information of the Company, Xxxxx or their affiliates. The Executive recognizes
that all documents or material containing Confidential Information developed by
him or by someone else in the course of employment by the Company, Xxxxx or
their affiliates, are the exclusive property of the Company.
X. Nonpiracy Covenants.
--------------------
(A) For the purpose of this Agreement, the following terms shall have
the following meanings:
(1) "Customers" shall be limited to those customers of the
Company (including Xxxxx and its affiliates) or its affiliates for whom
there is an insurance policy or bond in force or to or for whom the
Company or its affiliates are rendering services as of the date of
termination of the Executive's employment;
(2) "Prohibited Services" shall mean services in the fields of
insurance performed by the Company, Xxxxx or their affiliates, their
agents or employees in any other business engaged in by the Company,
Xxxxx or their affiliates on the date of termination of the Executive's
employment. "Fields of Insurance" does not include title insurance, but
does include all lines of insurance sold by the Company or its
affiliates, including, without limitation, property and casualty, life,
group, accident, health, disability, and annuities;
(3) "Restricted Period" shall mean: (i) in the case of
termination by the Company for Proper Cause or by the Executive without
Good Reason, the period of two (2) years immediately following the date
of termination of the Executive's employment; and (ii) in the case of
termination by the Company without Proper Cause or by the Executive for
Good Reason, the period following the date of termination of the
Executive's employment during which the Executive is receiving
compensation under this Agreement.
(B) The Executive recognizes that over a period of many years the
Company has developed, at considerable expense, relationships with, and
knowledge about, Customers which constitute a major part of the value of the
Company. During the course of his employment by the Company, the Executive will
either have substantial contact with, or obtain substantial knowledge about,
these Customers. In order to protect the value of the Company's business, the
Executive covenants and agrees that, in the event of the termination of his
employment for any reason, whether voluntary or involuntary and whether with or
without Proper Cause or Good
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Reason, he shall not, directly or indirectly, for his own account or for the
account of any other person or entity, as an owner, stockholder, director,
employee, partner, agent, broker, consultant or other participant during the
Restricted Period:
(1) solicit a Customer for the purpose of providing Prohibited
Services to such Customer; and
(2) accept an invitation from a Customer for the purpose of
providing Prohibited Services to such Customer.
Subsections (1) and (2) are separate and divisible covenants; if for
any reason one covenant is held to be illegal, invalid or unenforceable, in
whole or in part, the remaining covenant shall remain valid and enforceable and
shall not be affected thereby. Further, the periods and scope of the
restrictions set forth in any such subsection shall be reduced by the minimum
amount necessary to reform such subsection to the maximum level of enforcement
permitted to the Company by the law governing this Agreement. Additionally, the
Executive agrees that no separate geographic limitation is needed for the
foregoing nonpiracy covenants as such are not a prohibition on the Executive's
employment in the insurance agency business and are already limited to only
those entities which are included within the definition of "Customer."
XI. Nonraiding of Employees.
------------------------
The Executive covenants that during his employment hereunder and the
Restricted Period specified in Section X. hereof, he will not solicit, induce or
encourage for the purposes of employing or offering employment to any
individuals who, as of the date of termination of the Executive's employment,
are employees of the Company, Xxxxx or their affiliates, nor will he directly or
indirectly solicit, induce or encourage any of the Company's, Xxxxx' or their
affiliates' employees to seek employment with any other business, whether or not
the Executive is then affiliated with such business.
XII. Notification of Former and New Employment.
-----------------------------------------
During the term of this Agreement and the Restricted Period specified
in Section X. hereof, the Executive covenants to notify any prospective employer
or joint venturer, which is a competitor of the Company, Xxxxx or their
affiliates of this Agreement with the Company; and if the Executive accepts
employment or establishes a relationship with such competitor, the Executive
covenants to notify the Company immediately of such relationship. If the Company
reasonably believes that the Executive is affiliated or employed by or with a
competitor of the Company, Xxxxx or their affiliates during the Restricted
Period, then the Executive grants the Company the right to forward a copy of
this Agreement to such competitor.
XIII. Liquidated Damages.
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(A) If the Executive breaches Sections IX. or X. of this Agreement, the
Company may, at its sole option, seek liquidated damages with respect to each
Customer procured by or through the Executive, directly or indirectly, in
violation of Sections IX. or X. of this Agreement (with such
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Customers being hereafter referred to as "Lost Customers"). The Executive
acknowledges that it would be difficult to calculate damages incurred by the
Company in the event of such a breach and that the following liquidated damages
clause, when so elected by the Company, is necessary and reasonable for the
protection of the Executive. The Executive also acknowledges that the Company,
at its sole option, may or may not choose to exercise this liquidated damages
provision as to some or all Lost Customers. Whether or not the Company seeks
liquidated or actual damages, the Company shall retain the right to obtain
injunctive relief with respect to any Lost Customer and with respect to any
other actions by the Executive which breach this Agreement. Finally, the
Executive acknowledges that he has no right whatsoever to force the Company to
exercise this liquidated damages provision, and that such choice remains
entirely the Company's. Liquidated damages shall be calculated as follows:
(1) A Lost Customer shall be valued at 150% of the gross
revenue to the Company in the most recent twelve (12) month period
preceding the date of loss of such account. If such Lost Customer had
not been a Customer of the Company for an entire twelve (12) month
period, such liquidated damages shall be 150% of the gross revenue
which would have been, in the absence of a breach by the Executive,
realized by the Company in the initial twelve (12) month period of such
Customer being served by the Company.
(2) The Executive acknowledges that the foregoing damage
amounts are fair and reasonable, that an industry rule of thumb for the
valuation of any agency is 150% of revenue and that, on the margin,
selected accounts may be worth much more than 150% of their annual
revenue to an agency.
(B) The Executive shall pay such liquidated damages to the Company
within ninety (90) business days after a final order is entered by the
Arbitrator and received by the Executive ordering the Executive to make such
payment. Thereafter, such liquidated damages shall bear interest at the prime
rate of interest in effect at the Bank of Virginia. The Executive acknowledges
that a broker of record letter granted during the Restricted Period, if
applicable, by a Customer in favor of the Executive or any person or entity with
whom or which the Executive is directly affiliated shall be prima facie evidence
of a violation of Section X. of this Agreement and establishes a rebuttable
presumption in favor of the Company that Section X. of this Agreement has been
violated by the Executive. Further, the Executive acknowledges that if the
Restricted Period is applicable to him, he has an affirmative duty to inform
such Customer that he cannot accept its business until after the Restricted
Period.
(C) The Executive agrees that the foregoing remedies shall be
cumulative and not exclusive, shall not be waived by any partial exercise or
nonexercise thereof and shall be in addition to any other remedies available to
the Company at law or in equity.
XIV. Tolling of Restrictive Covenants During Violation.
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If a material breach by the Executive of any of the restrictive
covenants of this Agreement occurs, the Executive agrees that the restrictive
period of each such covenant so materially violated shall be extended by a
period of time equal to the period of such material violation by
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the Executive. It is the intent of this Section that the running of the
restricted period of a restrictive covenant shall be tolled during any period of
material violation of such covenant so that the Company shall get the full and
reasonable protection for which it contracted (but never more than what was
contracted) and so that the Executive may not profit by his material breach. For
example, if a violation of the Nonpiracy Covenants of Section X occurs and
continues for 10 days, then the Restricted Period shall be that period of time
necessary to get the bargained for period of compliance, excluding the 10 days
of noncompliance.
XV. Notices.
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All notices and other communications which are required or may be given
under this Agreement shall be in writing and shall be deemed to have been given
if delivered personally or sent by registered or certified mail, return receipt
requested, postage prepaid:
(A) If to the Company, to it at the following address:
0000 Xxxx Xxxxx Xxxxx, Xxxxx 000
Xxxx Xxxxx, Xxxxxxxx 00000
Attn: Chairman of the Board
(B) If to the Executive, to him at the following address:
0000 Xxxxxxxxx Xxxxxxx
Xxxxxxx, Xxxxxxx 00000
Attn: Xxxxxx X. Xxxxx
with a copy to:
Xxxxxxx Procter LLP
Exchange Place
Boston, Massachusetts 02109
Attn: Xxxxx X. Xxxxxx Xxxxxx
or to such other place as either party shall have specified by notice in writing
to the other. A copy of any notice or other communication given under this
Agreement shall also be sent to the Secretary and the Treasurer of the Company
addressed to such officers at the then principal office of the Company.
XVI. Governmental Regulation.
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Nothing contained in this Agreement shall be construed so as to require
commission of any act contrary to law and whenever there is any conflict between
any provision of this Agreement and any statute, law, ordinance, order or
regulation, the latter shall prevail, but in such event any such provision of
this Agreement shall be curtailed and limited only to the extent necessary to
bring it within the legal requirements.
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XVII. Arbitration.
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Any dispute or controversy as to the interpretation, construction,
application or enforcement of, or otherwise arising under or in connection with
this Agreement, shall be submitted at the request of either party hereto for
mandatory, final and binding arbitration in the City of Richmond, Virginia, in
accordance with the commercial arbitration rules then prevailing of the American
Arbitration Association. The Company and Executive waive the right to submit any
controversy or dispute to a Court and/or a jury. Any award rendered therein
shall provide the full remedies available to the parties under the applicable
law and shall be final and binding on each of the parties hereto and their
heirs, executors, administrators, successors and assigns and judgment may be
entered thereon in any court having jurisdiction. The prevailing party in any
such arbitration shall be entitled to an award by the arbitrator of all
reasonable attorneys' fees and expenses incurred in connection with the
arbitration.
XVIII. Indemnification by the Company.
-------------------------------
The Company shall defend, indemnify and hold harmless the Executive to
the fullest extent permitted by the laws of the Commonwealth of Virginia,
against any and all claims, causes of actions, damages and expenses (including
all legal fees and expenses) in any threatened, pending or completed action,
arising out of or relating in any way to action or conduct by the Executive by
reason of the fact that he was a representative of the Company or was serving at
the request of the Company or acts or conduct within the course of his
employment pursuant to this Agreement or in his capacity as a director of the
Company. If the Company contends that any action or conduct by the Executive was
not within the course of his employment or is otherwise not subject to this
provision, the Company shall pay to the Executive all defense costs and expenses
to defend such an action and shall only be entitled to reimbursement of such
fees and expenses if after a final adjudication, including all available
appeals, there is a holding that the Executive was not entitled to the defense
and indemnification under this provision.
XIX. Governing Law.
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This Agreement shall be governed by and construed in accordance with
the laws of the Commonwealth of Virginia.
XX. Divisibility.
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Should an arbitrator declare any provision of this Agreement to be
invalid, such declaration shall not affect the validity of the remaining portion
of any such provision or the validity of any other term or provision of this
Agreement as a whole or any part thereof, other than the specific portion
declared to be invalid.
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XXI. Headings.
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The headings to the Sections and Paragraphs of this Agreement are for
convenience of reference only and in case of any conflict the text of this
Agreement, rather than the headings, shall control.
XXII. Successors and Assigns.
-----------------------
This Agreement is binding upon and shall inure to the benefit of the
successors and assigns of the Company and the heirs, executors and legal
representatives of the Executive.
XXIII. Entire Agreement.
-----------------
This Agreement contains the entire understanding of the parties with
respect to the subject matter contained herein and supersedes all prior
agreements, arrangements and understandings relating to the subject matter and
may only be amended by a written agreement signed by the parties hereto or their
duly authorized representatives.
XXIV. Employment Conditioned Upon Closing.
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This Agreement is being entered into by the parties hereto
contemporaneous with the execution of the Purchase Agreement and shall become
effective on the Closing Date. Notwithstanding anything herein to the contrary,
if the Closing does not occur for any reason, or the Purchase Agreement is
terminated prior to the Closing Date for any reason, this Agreement shall be
deemed cancelled and void without further action by the parties, and the parties
hereto shall have no rights, duties or obligations hereunder.
[Signatures on Following Page]
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as
of the date first above written.
WITNESS:
/s/Xxxxxxx XxxXxxxxxxx /s/Xxxxxx X. Xxxxx
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Xxxxxx X. Xxxxx
ATTEST: HILB, XXXXX and XXXXXXXX COMPANY
/s/A. Xxxxx Xxxx By: /s/Xxxxxx X. Xxxxx
------------------------------------ ---------------------------------
Its: Chairman and Chief Executive
Officer
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