1/15/99
Xx. Xxxxxx Xxxxx
000 X. 00xx Xxxxxx #XXX
Xxx Xxxx, XX 00000
Dear Xxxxxx:
This letter will confirm our agreement to hire you as Vice-President of iParty
Corp., effective January 17, 1999. The basic terms of our agreement are as
follows:
1. Base compensation: $120,000 per year minimum; to be reviewed in July, 1999.
Initial term is 1/17/99 through 12/31/00.
2. Options: Options to purchase 120,000 shares of iParty common stock granted as
of 1/17/99, at a strike price of then market (approx. $4.25), and vesting as
follows: 60,000 shares on 4/17/99 and 60,000 shares on 7/17/99. Company
policy is to issue additional options annually in an amount equal to the
employee's base salary (at a minimum). Our counsel will prepare an option
agreement for your approval.
3. Vacation: Four weeks per year; no more than two weeks at a time.
4. Benefits: Medical, dental, and disability insurance coverage; and
participation in company 401(k) plan, all as defined in the company handbook.
5. Severance: In the event that your employment is terminated by iParty for
reasons other than cause or violation of the company confidentiality
agreement (attached hereto), and provided you have been employed by iParty
for at least three months, you will continue to be paid at your full base
salary rate for a period of three months from date of termination, and at
half your base salary rate for an additional three months. Such severance
payment will cease at such time as you obtain other employment. iParty will
pay to continue your health insurance coverage under COBRA for six months
from the date of termination (or, if lesser, until such time as you obtain
other employment).
6. Other: Such matters as maternity leave, optional benefits, travel and
entertainment policies, etc., are fully described in the company handbook.
If the above terms are agreeable to you, please sign a copy of this letter and
return it to me with a signed copy of the enclosed confidentiality agreement.
Xxxxxxx and I, as well as the members of the Board of Directors, are delighted
that you are joining the iParty team and we look forward to working with you.
Sincerely,
/s/ B.A. Xxxx, Xx.
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B.A. Xxxx, Xx.
Agreed:
/s/ Xxxxxx Xxxxx
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Xxxxxx Xxxxx
